Bloomberg Strategist: Tension In Eastern Europe Could Benefit Crypto
According to Mike McGlone, Bloomberg’s senior commodity strategist, the current geopolitical tension in Eastern Europe and the current macroeconomic backdrop could actually be a positive thing for the two leading crypto assets, Bitcoin (BTC) and Ethereum (ETH).
Mike McGlone shared with his 44.8K followers on Twitter that the existing macroeconomic environment with rising inflation and asset prices could be beneficial for the valuation of Bitcoin and Ethereum in 2022.
“Digital-asset stalwarts Bitcoin, Ethereum and the proliferation of crypto dollars may find a firm foundation in 2022 on elevated inflation and asset prices, along with tension surrounding Russia and Ukraine. The number one crypto is showing divergent strength vs. equities.”
Digital-asset stalwarts #Bitcoin, #Ethereum and the proliferation of crypto dollars may find a firm foundation in 2022 on elevated inflation and asset prices, along with tension surrounding #Russia and #Ukraine. The No. 1 crypto is showing divergent strength vs. equities. pic.twitter.com/6SO3WPzxCg
Should the boiling situation in Eastern Europe escalate to an armed conflict it could actually be beneficial for the US dollar, the Bloombeg analyst estimates. Ethereum-powered, dollar-pegged stablecoins could also keep ETH’s price afloat, he notes.
“If armed conflict erupted in Europe, the U.S. dollar could be a primary beneficiary; but in cryptos, the buck has already won.The fact that Ethereum made crypto dollars possible, along with the escalating use of the technology to transact greenbacks, supports Ethereum’s price.”
If armed conflict erupted in Europe, the U.S. dollar could be a primary beneficiary; but in #cryptos, the buck has already won. The fact that #Ethereum made crypto dollars possible, along with the escalating use of the technology to transact greenbacks, supports Ethereum's price pic.twitter.com/3AZQsxYFae
McGlone, however, predicts a rough week ahead for the leading digital asset, Bitcoin.
“Bitcoin indicating a rough week ahead – inflation unlikely to drop unless risk assets do. Most assets are subject to the ebbing tide in 2022, on the inevitable reversion of the greatest inflation measures in four decades, but this year may mark another milestone for Bitcoin.”
#Bitcoin indicating a rough week ahead – Inflation Unlikely to Drop Unless Risk Assets Do: Most assets are subject to the ebbing tide in 2022, on the inevitable reversion of the greatest inflation measures in four decades, but this year may mark another milestone for Bitcoin. pic.twitter.com/drnXyYea4F
