According to Mike Novogratz, cryptocurrency is going through a “consolidation phase,” and by the conclusion of the current quarter, he expects prices to rise.

The founder and CEO of Galaxy Digital, Mike Novogratz, predicts that the price of Bitcoin, which is currently trading at $61,814, will remain in the $55,000–$75,000 area for the remainder of the month. It may even rise towards the conclusion of Q2.

During the Q1 earnings call of Galaxy Digital, when the company revealed record quarterly revenue, Novogratz stated that the cryptocurrency markets are presently going through a “consolidation phase” and forecasted a price rebound by the end of the current quarter.

“Solana will combine Ethereum, Bitcoin, and all other cryptocurrencies. What is meant by that? It suggests that we will likely remain between 55 and 75 unless new conditions or market occurrences push us higher,” he stated.

Spot Bitcoin exchange-traded funds (ETFs) saw a sharp decline in inflows in recent months, despite an early surge in demand from institutional investors that saw the product generate over $13.9 billion in activity in its maiden offering.

Bitcoin is down 16.5% from its new all-time high of $73,700 that it reached on March 13, according to TradingView data.

Noting a wider trend of adoption among traditional financial institutions, Novogratz said he wasn’t overly concerned about the declining inflows for spot Bitcoin ETFs or the recent decline in Bitcoin prices.

With the symbol BTCO, Galaxy Digital, and investment firm Invesco provide their spot Bitcoin exchange-traded fund. Except for Grayscale Bitcoin Trust, the fund has only received $268 million in inflows since its founding, making it the second-lowest overall.

“Adoption is still increasing; major players are only now beginning to process it through their system,” he stated.

“The entire process of wealth managers pitching it to their customers takes time.”

Notably, Novogratz predicted that several of the tailwinds that supported price action in the cryptocurrency market early this year will persist for the upcoming few months and pointed to some catalysts.

According to him, the price of cryptocurrency assets may rise when the US Federal Reserve eventually starts reducing interest rates “because the economy finally slows” or, conversely, if the upcoming US presidential election results favorably.

“We make it through the election, and I believe that the election will clarify the regulatory environment surrounding cryptocurrencies, in one way or another,” Novogratz stated.

After a 40% increase from the final quarter of 2023, Galaxy Digital reported a net income of $421.7 million for the first quarter. Record mining operations revenue and management fees helped to boost income.