According to Mike Novogratz, new investors must fill at least 5% of their investment portfolios with cryptocurrencies.
Mike Novogratz, the founder of bitcoin bull and Galaxy Digital, is pleading with investors to devote more of their funds to Bitcoin and digital currencies. The famous name, who admitted in a CNN interview that he wanted to change the advice he gave investors, had previously stated that they should invest about 1% of their funds in cryptocurrency. Now, he suggests they start investing most of their money in cryptocurrency by investing at least 3% in Bitcoin to keep it in a long-term asset.
How Much Should Be Invested In Bitcoin?
According to Novogratz in the interview, he believes that new bitcoin investors can go so far as to invest 5% of their funds in Bitcoin:
“I think a new investor can put 5% into Bitcoin. Bitcoin doesn’t go back to zero… you can definitely go back to $ 14,000-you can lose 30-40%, but you won’t lose 80-90% of your money.”
He went on to explain that this is based on historical data and current stability in the cryptocurrency market. He suggested bitcoin was now “fulfilling its role as digital gold” and acting as an investment vehicle to store and hold value despite its reputation as a volatile asset in the industry.
It seems Novogratz is not giving this advice without his experience. In the interview, he said that about 50% of his portfolio consists of cryptocurrencies.