Crypto Bull Novogratz Sees Historic Regulatory Shifts Boosting Bitcoin Above 91000
1min read Crypto investor Mike Novogratz has shared his insights on the recent regulatory changes and developments in the United States, describing them as historical for the industry. These changes include the Office of the Comptroller of the Currency (OCC) opening doors for banks to participate in crypto, the SEC altering its enforcement tactics, and stablecoins regulation gaining government support. Novogratz believes these shifts will have a lasting impact on Bitcoin and the broader crypto market.
Novogratz highlighted that having a national Bitcoin reserve sends a strong message to other countries, marking a significant step toward Bitcoin’s global adoption and a turning point for the financial system. He also emphasized the importance of allowing banks to provide crypto custody and transaction services, which he believes will encourage more institutional adoption than the reserve announcement itself.
Novogratz reacted positively to the U.S. Treasury Secretary’s recent comments about stablecoins, acknowledging their role in maintaining the dollar’s dominance. He considers this regulatory shift extremely bullish, suggesting that policymakers finally understand the value of digital assets. However, he noted that the market hit a frenzy in late 2024, peaking with the high-profile Crypto ball event during the U.S. inauguration. Since then, institutions have taken a cautious approach, and meme coin speculation has collapsed. Additionally, U.S. stock market shifts have affected crypto’s momentum, while the industry still lacks a new Web3 breakthrough to drive excitement.
The regulatory environment for crypto in the U.S. is also changing, with the SEC withdrawing from crypto lawsuits and the CFTC easing crackdowns on crypto firms. These moves complement the OCC’s efforts, making it easier for banks to engage with crypto. Banks and other financial institutions will now be privileged to participate in custodial services and DeFi staking. These changes might see more regular and institutional investors acquire and invest more in the digital asset economy.
Major crypto exchanges like Kraken and Gemini are preparing for IPOs as the regulatory outlook improves. Novogratz believes public listings will boost investor confidence and push the industry further into mainstream finance. However, he noted that the crypto market needs fresh retail interest and a new narrative to regain momentum. Despite the short-term challenges, Novogratz remains bullish on crypto in the medium to long term, warning of counterbalancing forces and the need for Bitcoin to break $91,000 for a full market recovery.