A Bloomberg analyst has argued that Bitcoin “may be primed” for a quantum jump in its development thanks to inflation this year.
In a tweet on March 17, Mike McGlone, senior commodity strategist at Bloomberg Intelligence, cast a fresh bullish take on Bitcoin’s (BTC) future under the current macro conditions.
Gold beating Bitcoin is “unlikely” this year
Well known for his confidence in Bitcoin comes from the latest global financial turmoil out on top. McGlone claimed that inflation would ultimately help Bitcoin’s “maturation” as an asset class, contending it would even beat gold in terms of returns.
The forecast observed the first in what the Fed hinted would be a series of key interest rate hikes, an event that produced a modest but welcome boost to BTC price action.
Former BitMEX CEO sees $1 million BTC
McGlone, however, was far from isolated in his prediction. In his latest Medium post, Arthur Hayes, former CEO of derivatives exchange BitMEX, provided a stark warning about what was to come for global financial markets.
While adding to inflationary pressure, the Ukraine- Russia war is figurative because it has shown that even a central bank’s foreign currency assets can be effectively stolen.
Covering a range of macro topics, the post predicted a restructuring of the financial system, during which Bitcoin, like stocks and commodities, would see severe losses.
Eventually, however, both Bitcoin and gold should take a significantly more important role as stores of value in the face of falling participation in the U.S. dollar and euro standard from other governments.
Under such circumstances, which he accepted were to play out “over the next decade,” gold could be five figures an ounce, while a single Bitcoin could convey a seven-digit dollar sum.