Bloomberg Intelligence analyst Mike McGlone has suggested that the flagship cryptocurrency Bitcoin ($BTC) could “outperform” other assets in the second half of the year as it moves “toward global collateral” with performance aligned to that of Treasury bonds or gold.
In a post shared on the microblogging platform Twitter, McGlone noted that Bitcoin “may be regaining its propensity to outperform in H2” as he believes that a series of factors in wider equities and commodities markets may “coincide with a bottoming crypto.”
In his tweet, McGlone noted that the reversing in the U.S. Treasury bond future from “the steepest discount vs. its 50-week moving average since the 1987 crash may have similar recovery implications for Bitcoin.”
The analyst noted that in the second half of the year the view “for what have been enduring bull markets in Bitcoin and bond futures could come down to the fact that they just don’t get much colder,” and noted that BTC has been “one of the fastest horses in the race since it’s inception about a decade ago.”
To McGlone, “more of the same” is expected ahead as Bitcoin “may be transitioning toward global collateral, with performance more aligned with Treasury bonds or gold.” In a separate tweet, McGlone noted that the “lowest-ever Bitcoin volatility vs. the Bloomberg Commodity Index (BCOM) may portend a resumption of the crypto’s propensity to outperform.”
In the tweet, the analyst noted that if history is to be used s a guide, “Bitcoin volatility is more likely to recover vs. commodities when the crypto heads toward new highs” while adding that the “unwinding of 1H long commodities position may have fuel to continue.”
As CryptoGlobe reported, earlier this month McGlone said Bitcoin could be on track for “one of the greatest bull markets in history” based on a number of factors, or crypto could be a “failing experiment in the process of being made redundant.”
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