Bitcoin (BTC) rate is a deflationary currency that is generally expected to rise in price.
In the long run, this has always occurred so far. On the picture Bitcoin coins in front of a smartphone price graph.
The recent increases in the Bitcoin Future have led to one question in particular: What happens if the all-time high is exceeded? – At this point there is widespread speculation and interpretation. While some people say that it will end at $50,000, there are those who consider a Bitcoin price of $150,000 – $300,000 to be realistic.
One of these voices comes from Top Bloomberg Senior Analyst Mike McGlone, whose focus is usually on commodity trading.
Bitcoin price at USD 180,000 according to Bloomberg Analyst
Is the Bitcoin course able to achieve six-digit price targets? – In Mike McGlone’s opinion, the answer is definitely yes.
In an interview with Bloomberg TV, the Senior Analyst spoke about the historical Bitcoin performance, which he uses as a basis for a future forecast of the Bitcoin price.
In the short term, 20,000 USD is a good resistance. I am afraid that Bitcoin will do exactly what Gold did. It reached $2,000 and then consolidated despite a bull market.
But despite these worries that BTC will go into a sideways phase when it reaches its all-time high, McGlone sees greater chances for a new all-time high. So he continued:
The thing is this: Bitcoin has simply added a „1“ to the beginning of the price this year. At the beginning of the year Bitcoin was still at $7,000. Next year it could well be that a „0“ is added at the end.
The analyst estimates that the Bitcoin share price is capable of growing by a factor of 10x from today’s perspective.
Bullrun 2020 not comparable with all-time high from 2017
In the course of the interview, McGlone names further key factors that make BTC so unique as a crypto currency. The analyst is not only concerned with descriptive characteristics such as scarcity, but also with financial characteristics.
In his opinion, a good point is the decreasing volatility compared to the stock markets. To put it differently: Bitcoin volatility is slowly approaching the stock markets, which makes the asset more stable.
Bitcoin is becoming the Digital Gold. A key factor is the decreasing 180-day volatility compared to gold. The volatility of all other risky assets has increased while that of BTC is decreasing.
The analyst also talks about the reasons for the current bull market and sees a development of the entire market. The bull run of the Bitcoin price in 2017 was largely based on FOMO. The mass of private investors discovered BTC for the first time and invested.
The current rise, however, is much more due to investors from Wall Street. McGlone even speaks here of a „Wall Street FOMO“, which is triggered by quantitative easing.