Mike Novogratz Hopes Of Turnaround After Galaxy Digital Loses $136mln.
Galaxy Digital, a crypto investment bank led by Mike Novogratz, reportedly lost $136 million in the first three quarters of the year, reports Bloomberg on Wednesday.
As Bloomberg indicated, both the realized and unrealized losses of Galaxy Digital in the third quarter amounted to $41 million, which in conjunction with the results of previous quarters amounts to $136 million by far this year. Crypto investment bank’s share prices also fell to a record low after falling by 55% this month.
Established earlier this year, this bank revealed the losses due to the declining prices of major cryptocurrencies such as Bitcoin (BTC), Ethereum (ETH) and Ripple (XRP). The crypto investment bank referred to the lack of crypto trading volumes as a hindrance to success while explaining that the bank “continues to improve and strengthen the trading business.” In addition to low trading volumes, the bank also linked its recent losses due to increased competition for arbitration opportunities.
Novogratz recently stated that he anticipates the crypto market to see a reversal in fortunes in 2019, admitting that the crypto-investment bank has been challenged this year. In an interview with the Financial Times, Novogratz predicted that financial institutions would hardly have time to switch from investing in cryptocurrency funds to investing in digital currencies properly in the first quarter of next year.
He also predicted that Bitcoin will increase to over $20,000 in 2019 at the beginning of November. In an interview with the UK – based Financial News, the industry expert stated that Bitcoin could end this year at around $ 8,900.
For the first time, the Bitcoin price decreased below the $ 5,600 threshold for November 14, 2018. The crypto markets plummeted further last week, with Bitcoin falling below $ 4,000.