Michael Novogratz explains why bitcoin may set all-time highs in 2020

Bitcoin’s liquidity-driven rally is likely to continue throughout 2020, cryptocurrency investor Michael Novogratz told CNBC on Friday.

“Right now bitcoin feels a little frenzied, and we could see it surge up, but I think by the end of the year we certainly take out the old highs,” Novogratz, head of cryptocurrency merchant bank Galaxy Digital, said on “Closing Bell.” “Or at least we go to the old highs.”

Bitcoin reached its highest levels on Dec. 15, 2017, when a unit of the cryptocurrency was valued at $19,650. It came crashing down into the $3,000 range the following year, but it has climbed back since then.

This week it eclipsed $10,000 for the first time since September, and it was around $10,330 late Friday afternoon. That represents a more than 40% increase from where it began the year.

“Coming out of the ashes, bitcoin has really developed its own lane as a store of value” compared with other cryptocurrencies, Novogratz said, brushing aside concerns that it could see another…