Bloomberg’s Chief Analyst Mike McGlone says Bitcoin (BTC) would head towards US$100,000 in Near Term
A chief analyst from Bloomberg has said that Bitcoin will next march towards US$100,000 in the near term. The senior commodity strategist prediction backs up the theory that the price of the “nascent” cryptocurrency will double in the short term.
Bitcoin is currently struggling to breach and sustain above the US$50,000 psychological level. Though the largest cryptocurrency (in terms of market capitalization) has provided incredible historical ROI in the last 10-years, the institutions have started adopting it recently in the last several months. During the last one year (March 2020 to March 2021), the price of each Bitcoin (BTC) against the US Dollar has shot up from US$9,000 to around US$50,000, a 5-times increase in value.
Reports say that Bitcoin’s rise in the last one year was mainly due to heavy investment by the institutional investors. In fact, they are buying at every dip. This phenomenal rise has helped to bring the technology’s potential to light.
Bloomberg Intelligence’s Senior Commodity Strategist Mike McGlone has said that the “nascent” technology is on its way to start its progress towards US$100,000 per BTC price. With the BTC/USD price hovering around US$50,000 currently, the increase up to US$100,000 will mean a more than doubling of prices in the near term.
McGlone looks to a growing discount in the Grayscale Bitcoin Trust premium, which hasn’t been this low since a year ago around the Black Thursday collapse. In days, Bitcoin lost as much as 70% of its value as the stock market tanked and the world learned of the pandemic.
McGlone has pointed out a growing discount in the Grayscale Bitcoin Trust premium. This low point hasn’t been reached in nearly a year (last seen during the Black Thursday collapse). However, the cryptocurrency community has pointed out that the discount in the GBTC premium could have emerged due to increased competition from various cryptocurrency funds, mainly ETFs.
March Toward $100,000? Or Will A Bloody March Get In The Way?
Granted a lot has changed in a year. Specifically, Bitcoin is now in an uptrend versus the sideways action from 2019 and early 2020, and each correction has built a base from which the next leg up took place from.
According to the data and McGlone’s take on the discounted premium, another foundation is being laid for Bitcoin to rocket from. Where the “nascent” cryptocurrency goes next, is a march toward $100,000 per BTC.
The only thing that could trip up the trending cryptocurrency is if — as McGlone says — we use history as a guide, which suggests that the March monthly candle is more than likely to close red.
McGlone has used the historical data to suggest that March monthly candles are extremely likely to close red. While pointing out at the historic trend of March being the bloodiest month, McGlone says that if this historic trend breaks, the price of Bitcoin will likely increase to US$100,000.
