Novogratz Says That Bitcoin Valued at One Million USD Would Be Bad News: Here's Why?

Mike Novogratz, CEO of Galaxy Digital, believes that a bullish trend like that next year will not be a victory for cryptocurrency—but rather a warning sign for America. In a recent speech, Novogratz explained that such a surge would only occur if the American economy is in turmoil, with the dollar collapsing and public debt skyrocketing out of control. For him, a stable country with modest Bitcoin prices is still much better than a sky-high valuation born from crisis. The Hype Around Bitcoin Worth 1 Million USD In the world of cryptocurrency, few predictions spark as much discussion as the idea of Bitcoin reaching one million dollars. For some, this represents the recognition of Bitcoin as the ultimate store of value. However, according to Mike Novogratz, CEO of Galaxy Digital, advocating for such a price in the near future would miss the bigger picture. Speaking on the Coin Stories podcast, Novogratz warned that if Bitcoin were to reach one million dollars next year, it could signal major trouble for the American economy rather than a resounding victory for cryptocurrency. Price Stability Before a Bullish Surge Novogratz candidly stated: he would rather see Bitcoin at a lower level if that meant America remains stable. A surge in Bitcoin prices often signals weakness in traditional financial systems, especially the US dollar. When national currencies depreciate, investors flock to alternatives like gold or Bitcoin to protect their assets. He believes this move harms civil society, often leading to inflation, social unrest, and a breakdown of trust in government institutions. Concerns About Debt and America’s Policy A key part of Novogratz's caution lies in the deteriorating public debt picture of America. He points out that President Trump's appointment of Treasury Secretary Scott Bessent has not brought the expected financial improvements. Despite Bessent's intentions, the debt-to-GDP ratio continues to rise. Novogratz warns that America's budget deficit is on the rise rather than decreasing, placing additional pressure on the economy. In this context, Bitcoin may increase rapidly, but only as a risk hedge for a weakening system. Risks of the Bitcoin Treasury Bond Bubble Another concern is the wave of corporations adopting Bitcoin onto their balance sheets. Novogratz revealed that Galaxy Digital currently receives about five calls a week from companies wanting to add BTC to their treasury. Although corporate adoption was once considered a bullish signal, Novogratz stated that it is starting to resemble a frenzy. He compares it to classic bubble signals - when even taxi drivers start asking about balance sheet strategies. He is not the only one. The venture capital firm Breed recently issued a warning that most Bitcoin fund management companies could face a "death spiral" if market conditions change, leaving only a few strong companies. What Does This Really Mean for Investors? Novogratz's comments highlight a key tension point in the cryptocurrency narrative. Bitcoin's role as "digital gold" is most effective when it provides stability in times of turmoil, not when its price skyrockets as the economy collapses. If BTC reaches a million dollars next year, it will not be due to a sudden surge in adoption – but rather because the US dollar collapses, public debt skyrockets, and trust in traditional finance evaporates. In his view, this is not a win for cryptocurrency, but a warning sign for society. The Last Lesson Novogratz's warning is a reminder that the strength of Bitcoin is tied to the financial system as a whole, not separate from it. For long-term believers, a gradual and stable adoption supported by a healthy global economy will be much more sustainable than a sudden bullish run triggered by a crisis. A Bitcoin worth millions of dollars may cause a stir in public opinion, but if it happens in 2026, then America may be in a position where no investor should celebrate.