Novogratz Says Dalio’s Warning Is Bullish for Bitcoin

Billionaire Mike Novogratz is convinced that the stark debt warning of hedge fund billionaire Ray Dalio should be interpreted as a bullish case for Bitcoin (BTC) and gold.

On top of that, the investor believes that investors should also long stocks despise the fact that they might seem to be expensive.

According to Novogratz, the biggest “risk” was Tesla CEO Elon Musk and Treasury Secretary Scott Bessent actually bringing “financial sanity” back.

As reported by U.Today, Musk strongly opposed the controversial tax-and-spending bill due to the fact that it would add trillions to the national debt. However, not a single Republican member of the House ended up siding with Musk, showing that power is ultimately more important than money.

Dalio opined that the debt trajectory was unlikely to change in the US based on his conversations with politicians on both sides of the aisle.

“While virtually everyone agrees on the need to address our debt problem in a balanced way that includes tax increases and cuts to benefits, they also agree that they cannot speak up because politics have become absolutist,” he said in a recent social media post.

The billionaire hedge manager is a longtime Bitcoin investor. However, the cryptocurrency still comprises a tiny portion of his portfolio, and he recently stated that he prefers gold as a safe haven asset due to concerns about Bitcoin’s lack of privacy and potential security issues.

As reported by U.Today, Novogratz previously predicted that Bitcoin could surpass gold by market cap by the end of the decade.