Galaxy's Novogratz suggests Bitcoin could hit $1 million if adoption trend persists

It may take a long time, but Bitcoin could 10X and hit $1 million if the cryptocurrency continues to grow in popularity, Galaxy Digital founder and CEO Mike Novogratz said Thursday.

"The bull case becomes that over time young people care about it more than than old people so gold slowly gets replaced by Bitcoin," he said during an interview with CNBC. "If you look at gold's market cap and Bitcoin's market cap, Bitcoin has a long way to go, 10x, and so that's [$1 million] Bitcoin just to be where gold is."

Novogratz is not the first Bitcoin bull to suggest that over the long term the cryptocurrency will appreciate significantly in value. In April, Cathie Wood's Ark Invest raised its bull-case Bitcoin price projection to $2.4 million by 2030, up from a previous estimate of $1.5 million. Strategy's Michael Saylor has also, on numerous occasions, talked about how far he thinks the price of Bitcoin could go. 

Novogratz's main justification for believing in Bitcoin's potential to increase in value by 1,000% appears based, at least in part, on the latest trends of macro adoption. 

"Now we've got all these treasury companies buying Bitcoin, we've got sovereign wealth buying Bitcoin, we've got retail investors buying Bitcoin, there's easier ways to get it," he said. "So the adoption of Bitcoin as a macro asset, as an asset to save money in, I think that's now a ball rolling down hill."

BlackRock is perhaps the largest instance of institutional adoption of Bitcoin as a macro asset. The Wall Street giant's growing exchange-traded fund has accumulated a large amount of the cryptocurrency on behalf of its clients — about 3% of Bitcoin's total supply as of April. The spot Bitcoin ETF currently holds over $70 billion in assets under management.

Bitcoin is trading hands at around $106,210.56, shy of the digital asset's all time high of over $111,000, according to The Block's Price Page. Bitcoin's price has risen over 50% in the past year.

Novogratz is, of course, talking his own book to some degree. Last year, Galaxy Asset Management raised $113 million for Galaxy Ventures, a fund focused on investing in early-stage companies across crypto protocols. In general, the better Bitcoin performs, the better the entire crypto market does. The firm also operates a large mining facility in Texas and holds an estimated 12,830 BTC, worth over $1 billion. 

Bitcoin's market cap is currently over $2 trillion.