Bloomberg analyst Mike McGlone has described Bitcoin (BTC) as a “wildcard” that will make everyone swallow the dust as soon as traditional stock markets bottom out.
In his September 7 posts on Linkedin and Twitter, McGlone said that while the monetary contraction policy of the US Federal Reserve (Fed) determines the direction of the stock markets, Bitcoin may be the “wildcard” element that can disrupt this trend.
“When bitcoin stocks bottom out, a joler waiting to beat them will look more like gold and bonds.”
Commodity strategist, Sept. 7 in the report He stated that Bitcoin will emerge strongly from the bear market despite the challenges that await risky assets.
“It’s only a matter of time before the Fed finally cuts interest rates, and the real beneficiary will be Bitcoin.”
According to the report, Bitcoin is expected to follow a similar trend to gold and government analytics, while Ethereum (ETH) is expected to show a higher correlation with stock markets.
The Fed, which increased interest rates many times throughout 2022 within the scope of monetary contraction measures, lastly increased interest rates by 75 basis points on July 27.
Macro in Five Charts: Crude, Commodities, Stocks, Bonds, Bitcoin – #Crudeoil may be resuming an enduring bear market and refueling the T-bond bull. #FederalReserve tightening as global GDP turns negative may help transmogrify #stocks to going down on bad news and up on good. pic.twitter.com/KZEWsZyI8h
— Mike McGlone (@mikemcglone11) September 7, 2022
While it is not clear when the monetary contraction will end, some economists predict that expansion will begin at some point in 2023. thinks.