Bitcoin News

US Credit Crunch Means it’s time to Buy Gold and Bitcoin: Novogratz

According to Michael Novogratz, founder and CEO of Galaxy Digital, the United States is on the verge of a credit crunch, making this the ideal time to purchase gold, silver, and Bitcoin for $24,465 each.

In an interview with CNBC, Novogratz predicted that there will be a credit constraint both domestically and internationally. You should own positions in gold, silver, and bitcoin, he suggested.

On March 15, Novogratz said on CNBC’s Squawk Box that since banks normally rebuild capital by lending less, a credit crisis is soon to come and that signs like the commodities market are already pointing to a recession.

This month, the U.S. banking sector saw instability when Silvergate Bank, Signature Bank, and Silicon Valley Bank all failed in the same week. The outlook for the U.S. banking system was lowered by Moody’s to “negative.”

The Federal Reserve would “want to conduct a dovish rise, just for credibility’s sale,” according to Novogratz, but doing so would be a “major policy blunder,” he said in an interview with CNBC.

Novogratz also expressed optimism for cryptocurrencies, saying: “If there was ever a time to be in Bitcoin and crypto, this is why it was created, in that governments print too much money whenever the pain gets too great, and we’re seeing that.” Novogratz also predicted difficult times for the American economy. As Silicon Valley Bank failed last week, the price of bitcoin dropped, but on March 14 it managed to hit fresh 2023 highs of $26,514.72, according to CoinMarketCap.

Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. Crypto is not a legal tender and is subject to market risks. Readers are advised to seek expert advice and read offer document(s) along with related important literature on the subject carefully before making any kind of investment whatsoever. Crypto market predictions are speculative and any investment made shall be at the sole cost and risk of the readers.