Bloomberg commodity strategist Mike McGlone has recently said that Bitcoin ($BTC) and U.S. Treasury bonds are both dropped to “extreme discounts” amid the Federal Reserve’s hawkish moves to tame inflation.
According to a tweet McGlone shared with his over 50,000 followers on the microblogging platform, he believes the world’s “most speculative, excessive and safest assets,” which he deemed to be BTC and U.S. T-bills, are now trading at extreme discounts.
Year-to-date bonds, stocks, and cryptocurrencies have all plunged while commodity prices rose over macroeconomic factors and Russia’s invasion of Ukraine. The analyst noted that as the Federal Reserve keeps hiking interest rates, investors can expect further corrections down the road.
Despite Bitcoin’s poor performance year-to-date, McGlone has recently reiterated he believes that the price of the flagship cryptocurrency will hit the $100,000 mark. Per the analyst, it’s a “matter of time” until Bitcoin reaches six figures.
Commenting during an interview on BTC currently trading around the $19,000 mark, the analyst said prices right now are “very low” and that he believes in the future investors will look back at BTC at these levels “like we look back at the NASDAQ at the bottom in 2002.”
Per the analyst, after going through a period of “just a little bit of cleansing of the excesses of excess, we’re going back to a world where number one, the US is completely dominant.” As CryptoGlobe reported, McGlone has been predicting BTC will hit $100,000 by 2025 for months now,
The analyst is also “bullish” on gold as he believes that once we see a little peak in long bond yields, a little end of all these hiking expectations from the Fed,” gold will start to take off. Silver, he added, will underperform in the short term.
McGlone has notably accurately predicted in November 2020 that the price of BTC would surpass its $20,000 mark and enter a parabolic rally in 2021. Last year, BTC reached a new all-time high near the $69,0000 mark before enduring a significant correction.
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