Mike Novogratz, the founder of the Galaxy Digital, offered gold proponent and bitcoin skeptic Peter Schiff a $1 million bet on the price of the Bitcoin.
On Jan 21st, the founder of Galaxy Digital announced the beginning of a bear market and urged not to buy on drawdowns.
“The Russel index broke major support, and today’s rollover confirmed it’s broken. This is now a bear market. There is 1.2tr of bad equity longs above the market. Sell rallies. Don’t buy dips.
Crypto will have a hard time rallying until stocks find a base. That said, crypto already had a decent sell-off and is running into some buying support. Finally, the best traders get good at gallows humor.”
As the cryptocurrency market tumbled, Schiff said that bitcoin could collapse below $10,000. According to him, a move below $30K can take Bitcoin to $10K.
“Bitcoin has finally broken the neckline of a head-and-shoulders top. The scary part for the longs is that the pattern projects a move below $30,000. Once that level is breached, Bitcoin will have completed a massive double top. From there, a crash below $10,000 is highly likely.”
Peter also predicted that Ethereum could go as low as $1000.
“Well, we took out $2,600, trading around $2,300 now. I guess it’s time to start hoping that $1,800 holds. When that support fails, you can start praying that $1,000 holds.”
On such adverse predictions, Novogratz came forward and said he would donate $1M if the BTC price at the end of 2022 remained below $35K.
@PeterSchiff I’ll bet $1mm to the charity of either of our choices that $BTC is higher than 35k a year from now. You on? https://t.co/ilQ5KJrHGP
— Mike Novogratz (@novogratz) January 22, 2022
Bitcoin’s price is currently consolidating after the sharp decline and just trading above $35K. Recall that in September 2021, Schiff criticizing bitcoin said an imminent end of the “cryptocurrency bubble” is coming. He also reaffirmed his commitment to gold and pointed out that the value of the precious metal “is in its usefulness.”
That same month, Novogratz called the first cryptocurrency “the next internet,” and $40,000 for Bitcoin and $2,800 for Ethereum as critical support levels.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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