Mike Novogratz: Bitcoin's next bull run will be half narrative, half practical

Mike Novogratz, CEO of Galaxy Digital, believes that the next Bitcoin (BTC) bull market will certainly be very different from the historical cryptocurrency bull market in terms of narrative and practicality.

At a roundtable at the Token2049 conference in Singapore on Sept. 28, Novogratz predicted that the next Bitcoin bull run will focus more on utility than storytelling compared to previous bull runs.

He said the 2017 bitcoin bull run was mostly storytelling, when bitcoin rose from about $1,000 to about $20,000 in a year.

According to Novogratz, the 2017 bull market was largely a narrative about people distrusting government and wanting more privacy and decentralization. "That's a Gen Z revolution, a millennial revolution, and it's global. It's a powerful story."

Novogratz pointed out that Bitcoin hit an all-time high of $69,000 in November 2021, and this round of bull market was "really generated" by the new crown epidemic. Market moves in 2020 and 2021 are "probably 80 percent story and 20 percent practical," he said.

“Ethereum and all the other blockchains are starting to really accelerate building a shared blockchain on which we can create our own companies,” Novogratz said.

Novogratz predicts that the next bull market will have to be “50 percent story, 50 percent utility” compared to this one. He pointed out:

“Developers build systems that need to be a) fast and scalable, and b) user-friendly. But we don’t have that right now—that’s why we’re at this stage. But in the next few years, They will come."

During the roundtable discussion, Novogratz also excited the audience with his optimistic predictions about the inevitable success of cryptocurrencies.

"The word 'inevitable' keeps popping up. There's a sense of inevitability that we're in the right industry and that bitcoin is bound to have its day," Novogratz said. He also stated that he believes that Web3 and NFT will become an important part of the future gaming field.

Additionally, Novogratz pointed out that despite the ongoing cryptocurrency winter, Bitcoin has still outperformed many fiat currencies this year.

As previously reported by Cointelegraph, Novogratz has made some successful predictions for Bitcoin. Back in 2020, Novogratz predicted that Bitcoin would exceed $20,000 by the end of the year, and in fact, by the end of 2020, the Bitcoin price was even close to $30,000.