The broader cryptocurrency market has been in a bearish trend since last month, with Bitcoin's price down by more than 20% during that period.
The leading cryptocurrency has been underperforming for the past few weeks. Bitcoin reached a new all-time high above $69,000 a month ago. However, it has performed poorly since then, losing more than 20% of its value during that period.
At press time, Bitcoin is struggling to stay above the $50k level and is currently trading around $49k per coin. However, Galaxy Digital CEO and cryptocurrency billionaire Mike Novogratz believes that the leading cryptocurrency will continue to trade above the $40,000 mark. He stated that;
"I think $42,000 should hold, that should be the bottom of this move. It would surprise me if it went below $40,000."
He also commented on the latest dip, stating that there are too many people participating in Bitcoin that it is hard for it to drop below the $40k level.
"I think $42,000 should hold, that should be the bottom of this move. It would surprise me if it went below $40,000," says @Novogratz on #Bitcoin's latest dip $BTC. "There's so many more people participating on it. It's hard for me to see if going below." pic.twitter.com/4VuYIw01dF
— Squawk Box (@SquawkCNBC) December 8, 2021
Novogratz is one of the most bullish proponents within the cryptocurrency space. He previously predicted that the total cryptocurrency market cap would reach $20 trillion over the coming years. The total market cap touched the $3 trillion mark last month after BTC and ETH rallied to a new all-time high.
However, it has since dropped below the $2.5 trillion mark. Despite the recent dip, market experts believe Bitcoin will touch the $100k level over the coming months. That would require it to surge by at least 100%.
It is becoming highly unlikely for Bitcoin to reach the $100k level before the end of the year. Ether and other altcoins are also underperforming at the moment. Ether is struggling to stay above the $4k level.
The dip could get bigger in the short term as the broader cryptocurrency market continues to underperform.