Galaxy Digital CEO Mike Novogratz cited a number of factors that he believes led to the declineBTC prices.
First of all, Novogratz emphasized that the congressional hearing on Libra was unlikely to have any effect on the price of BTC. He continued:
As with other goods and assets,their price is affected by many factors. Recently, several negative events have occurred on the market. One of them is the prohibition on distributing Gram tokens. Such news is very harmful to the entire cryptocurrency ecosystem.
In addition, Novogratz recommended to investorsrefrain from panic sales, and added that the recession in the market is temporary. He also compared Libra with the digital currency of China and emphasized that such currencies are very different from Bitcoin.
The digital yuan that China is working on, andLibra– these are currencies and payment systems. Bitcoin – Is this gold. Gold is not a threat to the US dollar, so Bitcoin is not a threat to fiat.
Based on materialswww.fxstreet.com