Bloomberg’s Mike McGlone Calls $100K Bitcoin And $5K Ethereum In 2022

According to Mike McGlone, Bloomberg’s senior commodity strategist, both Bitcoin (BTC) and Ethereum (ETH) are geared to soar in 2022 despite the current downward sentiment on the crypto market.

In a recent market analysis, Mike McGlone writes that the two leading digital assets, BTC and ETH, are on firm bases to build on. The analyst projects that BTC and ETH will remain dominant among cryptos during this year, with “Bitcoin heading toward $100,000 and Ethereum breaching $5,000 resistance.”

McGlone sees Bitcoin in a “consolidating bull market” and predicts the US Federal Reserve’s new policies will actually be beneficial for the leading crypto asset. He wrote:

“If the S&P 500 retreats and stays down awhile, we expect Bitcoin to come out ahead, following rising bond prices and gold.”

The Fed officials have earlier indicated that they have plans to scale back asset purchases and raise interest rates this year in an effort to combat inflation.

McGlone elaborates:

“Expectations for Federal Reserve rate hikes in 2022 may support a win-win scenario for Bitcoin vs. the stock market.

A reason to take back liquidity is the fact that the S&P 500 is the most extended above its 60-month moving average in over two decades.

Stretched markets have become common, but commodities and Bitcoin appear to be early reversion leaders.

It’s a question of bull-market duration, and we see the benchmark crypto coming out ahead.”