Bloomberg commodity strategist Mike McGlone has weighed in on Bitcoin’s performance as inflation surges, interest rates rise, and Ukraine deals with a large-scale invasion from Russia.
In a tweet shared with his followers on social media, McGlone noted that this year may be “primed for risk-asset reversion and mark another milestone in Bitcoin’s maturation.” The analyst added he believes BTC will keep on outperforming both gold and the stock market.
According to a chart from Bloomberg Intelligence McGlone shared, the flagship cryptocurrency has been greatly outperforming gold, the S&P 500 Total Return Index, and the growth of the U.S. money supply. The cryptocurrency is now trading at $41,000.
The U.S. Bureau of Labor Statistics’ Consumer Price Index (CPI), used to measure inflation, has recently posted a 7.9% rise compared to last year, marking the fastest annual jump the CPI has seen since 1982. The figure has prompted the Federal Reserve to approve its first interest rate hike in over three years.
McGlone has notably accurately predicted in November 2020 that the price of BTC would surpass its $20,000 mark and enter a parabolic rally in 2021. Last year, BTC reached a new all-time high near the $69,0000 mark before enduring a significant correction.
The analyst isn’t the only one bullish on the flagship cryptocurrency. Bill Barhydt, the CEO of investment and trading platform Abra, has recently shared his medium and long term outlook for both BTC and ETH, and revealed he sees bitcoin trade at $250,000 in the future. As for Ethereum, Barhydt predicted it could trade between $30,000 and $40,000.
Similarly, Apple co-founder Steve Wozniak has said BTC is “mathematically defined,” and predicted it will reach $100,000. In an interview, Wozniak revealed he was an early BTC investor but after the price of the cryptocurrency started surging he “got scared” and sold all of his coins except for 1 BTC.
It’s worth noting that this week Ukrainian President Volodymyr Zelensky signed into law a bill named “On Virtual Assets” that was approved by the country’s parliament a month ago. It establishes a legal framework for the country to operate a regulated crypto market.
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The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, or other advice. Investing in or trading cryptoassets comes with a risk of financial loss.
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