One of the most prominent names in the cryptocurrency space says that the price of bitcoin will double by the end of 2021, despite concerns of froth in its recent run.

“It feels like we’re going to consolidate a little bit in this US$50,000 area ...  but the next big leg is up to US$100,000,” said Mike Novogratz, founder and chief executive officer at Galaxy Digital Holdings Ltd. in an interview on Thursday.

“It wouldn’t surprise me at all if we crack $100,000 by the end of the year.”

Bitcoin prices have skyrocketed this year, starting 2021 just below US$30,000 but reaching new highs above $58,000 within the last week. Novogratz himself predicted the rally, telling BNN Bloomberg in November that the cryptocurrency would surpass the $50,000 threshold.

Novogratz said his most recent call is based his expectation that institutional investors will migrate to the cryptocurrency space, but called the steep rise “shocking.”

“It surprises me that I’m saying that (based on) where I was in November, but the adoption I’m seeing is shocking,” he said.

“It’s not like I’m just guessing. I’m looking behind me, in front of me and seeing all these new projects that are coming; banks that are going to issue products for their wealth management businesses.”

Novogratz said that bitcoin adoption among major financials is the next step, adding that he expects Canada’s big banks to jump into the cryptocurrency fray soon. He said Canada’s regulatory amenability to the cryptocurrency space - evidenced by Galaxy’s ability to list on the TSX and TSX Venture and the recent availability of bitcoin-based exchange-traded funds - contributes to the country’s “crypto DNA.”

But he added the U.S. won’t be far behind, opening up a new set of potential investors.

“Every big bank in America is working on a wealth management product. So, we’re going to get into the Baby Boomers sooner than I thought we would,” Novogratz said.