Mike Novogratz becomes optimistic, Galaxy Digital buys 400 BTC

In an unprecedented development, Mike Novogratz’ Galaxy Digital has increased its Bitcoin holdings once again, bagging a whopping 400 BTC today. On-chain data shows a notable accumulation of $23 million by the digital asset manager despite BTC recently falling below $59,000.

The recent accumulation has sparked bullish sentiments for the asset across the crypto market. Moreover, the massive accumulation is attracting additional attention due to some positive market dynamics following the massive buying.

Mike Novogratz’s Galaxy Digital steals 400 BTC

As mentioned above, the BTC price saw a drop to the $58,000 level earlier this week. Nevertheless, Mike Novogratz’ Galaxy Digital’s decision to massively buy BTC has sparked significant market optimism and represents a potential buy-the-dip strategy.

According to data from Arkham Intelligence, the digital asset manager’s wallet address 12QVsf. looted 400 BTC worth $23.40 million from crypto exchange Binance today, August 19. The total holdings of this particular wallet address rose to 3,15,000 BTC worth a staggering $184.56 million with this massive accumulation.

The accumulation also exposes the asset to significant buying pressure and cements investor optimism about future price movements. Moreover, remarks by a renowned crypto market analyst, in the meantime, have further brought the bullish aspects of the coin into the spotlight.

Today, crypto analyst Ali Martinez posted on X and drew attention to the post-halving Bitcoin cycle. Citing historical data, the analyst reveals that the market is currently in the early stages of this cycle. “It has been 119 days since the 2024 BTC halving. In the last two cycles, BTC reached a market high around 530 days after the halving,” the analyst added. This suggests that the broader market has yet to see a new potential Bitcoin ATH for this cycle.

BTC price falls

However, contrary to the mentioned developments, BTC price has fallen by 3% to $58,205 over the past 24 hours. Its 24-hour lows and highs were recorded at $58,264.90 and $60,262.72, respectively. Bitcoin shorts, in particular, have increased significantly over the past few days, which is in line with the somewhat pessimistic market sentiment today.

Nevertheless, the aforementioned accumulation by Mike Novogratz’ Galaxy Digital and analysts’ comments have given an optimistic veneer to the asset’s future potential. Coinglass data suggested a 1.5% decline in futures OI to $30.01 billion today. However, derivatives volumes increased by 40% to $40.04 billion, leading to speculation among investors.

The flagship cryptocurrency’s 14-day RSI was at 43, highlighting slight downward pressure on the price. Nevertheless, crypto market participants continue to closely monitor the coin and anticipate future price movements due to looming expectations of a rate cut by the Fed.

According to the CME FedWatch tool, 71.5% expect a 25 basis point cut, while 28.5% expect a 50 basis point cut. Given the current market scenario, a rate cut could significantly boost the broader crypto market.

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Coingape Staff

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Disclaimer: The content presented may contain the personal opinion of the author and is subject to market conditions. Conduct market research before investing in cryptocurrencies. The author or publication assumes no responsibility for your personal financial loss.