In his recent interview, Mike McGlone, Senior Commodity Strategist at Bloomberg Intelligence, predicted the direction of Bitcoin potential decline amid current market development downturn. However, the veteran analyst wasn’t all gloomy as he addressed the longer-term prospects of the flagship cryptocurrency.
Will Bitcoin Reach $8,000?
It is worth noting that Bitcoin has experienced significant price fluctuations since its inception. In the interview, McGlone compared the volatility of Bitcoin to the days of the stock exchange. His predictions were also based on his analytical observations prompted concern and approval.
Mike McGlone’s interview was packed with insights into the cryptocurrency market, but one His statement stood out: his belief that Bitcoin could currently drop to a low of $8,000 bear market
McGlone emphasized this despite the possibility of such a drastic drop. Bitcoin remains the best performing asset in the world. McGlone explained that Bitcoin does not exhibit deflationary characteristics like treasury bills and gold.
Instead, he pointed out that macroeconomic elements, most notably the Federal Reserve’s ongoing tightening policy, continue to have a significant impact on Bitcoin’s price.
Institutional Impact: Not the Immediate Boost Many Are Expecting?
Another common belief in the crypto community is that spot ETF approvals and a The influx of institutional investors would catapult the Bitcoin price to new heights.
McGlone, however, expressed skepticism about this opinion. In his view, while a spot ETF approval can affect market sentiment, it may not have a significant impact Bitcoins price development. McGlone suggested that the earliest spot ETF might not see the light of day until next year.
McGlone relies on BlackRock for which position ETF could possibly take the first step. Citing the institution’s superior presence in the market and its reputation as the world’s leading wealth manager, he believes BlackRock could be a leader in the spot ETF space.
Despite these short-term forecasts, McGlone remained confident in Bitcoin’s long-term bullish prospects. He reiterated his vision that the crypto giant would eventually hit $200,000.
Meanwhile fFollowing the announcement of Grayscale’s legal victory over the US Securities Exchange and Commission (SEC), Bitcoin has declined significantly from Tuesday’s high of $27,974, falling to $26,885 at the time of writing.
Bitcoin (BTC) price is moving sideways on the 4-hour chart. Source: BTC/USDT on TradingView.com
Bitcoin’s daily trading volume has also fallen with its price, falling from a peak of $12 billion last Thursday to $10 billion in the last 24 hours. Notably, as of this writing, Bitcoin’s market cap stands at $523 billion.
Featured image from Unsplash, chart from TradingView
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