Bitcoin Ready To Follow Financial Rules And Appreciate Long Term – Bloomberg Analyst ⋆ ZyCrypto
On Twitter, Mike McGlone, a senior macro strategist at Bloomberg Intelligence, highlighted the firm’s report excerpt. Focusing specifically on the aspect that centers Bitcoin, McGlone shared screenshots of the report, where the perception of Bitcoin was said to be similar to gold, but in a digital format.
Bloomberg has labeled Bitcoin as “digital gold” of late, as many traditional institutional firms have viewed the asset as an alternative to traditional gold, while also using the apex cryptocurrency to hedge against inflation.
The report noted that the crypto and financial market is likely to register a bend for Bitcoin following the collapse of many banks in the US and beyond, along with the increased possibility of an economic restructuring.
A technical chart from Bloomberg describes Bitcoin’s position against the Nasdaq 100, which follows a route similar to the Bitcoin vs. most anchored asset pattern, which is an uptick in Bitcoin’s rising relative price and a downward move in the asset’s volatility.
“Bitcoin is seen more as digital gold in a world that is moving that way and may move on from excessive speculation. The 2023 global banking crisis and growing potential for a significant economic reset could mark a bend for the 24/7 traded virtual asset and is no one’s project or responsibility. Our chart of the benchmark crypto vs. Nasdaq 100 shows a similar pattern to Bitcoin vs. the most anchored assets – rising relative price and falling volatility.”
Unless a change is registered, Bitcoin’s adoption will increase and volatility will continue to decrease
In addition, the Bloomberg report explained that in the long term, many new patterns could unfold and added that Bitcoin is very well positioned to adapt to the objective economic laws and continue to increase in value. Unless there is a shift in supply, which is steadily declining, against Bitcoin’s adoption, which has continued to grow, Bitcoin is well on its way to the top, Bloomberg noted.
“It’s a matter of permanence and something has to change with declining supply versus increasing use as a global security, otherwise Bitcoin is more likely to follow the rules of the economy and appreciate.” The report was read.
At the time of report, Bitcoin and most other cryptocurrencies are in the red zone after nursing mild hourly and daily losses in price value. After reaching a peak of $28,800, Bitcoin is now very close to hitting $30,000 for the first time in 2023.
