Bloomberg’s Strategist Says $400k Bitcoin Price Would “Rhyme” With History

By Bernice Nyambura

Bloomberg's Strategist Says $400k Bitcoin Price Would “Rhyme” With History

If Bitcoin’s present performance is compared to its performance in 2013, the top coin is on track to hit $400,000 despite multiple corrections, according to Senior Commodity Strategist at Bloomberg Intelligence, Mike McGlone.

Bloomberg's Strategist Says $400k Bitcoin Price Would “Rhyme” With History

McGlone said that Bitcoin has established itself as a reserve currency, evident in the snowballing adoption from retail and institutional investors. Bitcoin’s current trajectory and the ongoing worldwide fiat inflation will see Bitcoin become a global reserve asset.

“#bitcoin in Transition to Risk-Off Reserve Asset: BI Commodity—Well on its way to becoming a global digital reserve asset.”

Bitcoin Matures in 2021

The entry of institutional investments in the crypto market, increase and improvement of crypto-based infrastructure and products, as well as the growth of the DeFi sector, will offer the perfect environment for Bitcoin to mature in 2021.

“A maturation leap in 2021 may be transitioning Bitcoin toward a risk-off asset, in our view.”

McGlone also said in a separate statement that Bitcoin is one of the 21st century’s key innovative ideas that have been appreciating in value since its inception.

“A basket of #metals including #Bitcoin has greater price appreciation in the 21st century.”

What’s Next for Bitcoin?

The statement comes amidst high volatility in the market with bitcoin ranging between $50,000 and $55,000 in the last two days. As earlier reported, Bitcoin was predicted to remain below the $60,000 level to fill some gaps and fight two key resistance levels at $56,000 and $58,000. This is unless new buyers were to enter the market in significant numbers.

Bloomberg's Strategist Says $400k Bitcoin Price Would “Rhyme” With History
BTCUSD Chart By TradingView

Elon Musk’s recent announcement about Bitcoin’s acceptance as a payment option for Tesla cars was expected to have a significant price action on Bitcoin. Data by CoinMarketCap shows that Bitcoin reached a high of $57,262 from an opening price of $54,710. However, the gains faded away before the day was over and bitcoin hasn’t been able to reclaim price above $54,000, but only hitting a low of $50,856.

At the time of writing, Bitcoin has gained 4.15% in the last 24 hours to trade at $54,855, with a market cap of over $1 trillion. According to crypto analyst and trader Rekt Capital, bitcoin has for the first time in history followed the Stock-to-Flow line that could see it at $84,000 in May 2021.

“So if $BTC’s current macro bullish momentum continues, #Bitcoin will reach ~$84,000by mid-May 201, according to the Stock Flow model.”

Source:: https://zycrypto.com/feed/