Mike McGlone, senior commodities strategist at Bloomberg Intelligence, predicted the rise in the price of the first cryptocurrency in the near future. He is confident that by the end of 2022, digital gold will outperform the competition.
Only commodities rose among major assets in the first half of the year, according to a new Bloomberg Cryptos Outlook report. According to analysts, this is essential for Bitcoin.
In economic downturns, digital gold and Ethereum tend to outperform most major assets, experts explained. McGlone called interest rate hikes by central banks a “strong tailwind.”
He noted that October has been the best month for Bitcoin since 2014. The analyst believes that the transition of Ethereum to the Proof-of-Stake consensus algorithm can help it and the first cryptocurrency gain a foothold above the $1,000 and $20,000 levels, respectively.
Earlier, Galaxy Digital CEO Mike Novogratz called the main factor in the resumption of growth in bitcoin the refusal of the US Federal Reserve to aggressively raise rates to fight inflation.
Recall that in September, billionaire Stanley Druckenmiller, a former colleague of George Soros in the Quantum fund, predicted a revival of digital assets amid the collapse of the fiat-based economy.