The monthly edition of Bloomberg’s Crypto Outlook report has been released, detailing how the company’s analysts are navigating the market and assessing adoption rates as well as demand and supply dynamics.
Mike McGlone, a senior commodity strategist at Bloomberg, has reiterated his demand for a six-figure Bitcoin (BTC), claiming that the first cryptocurrency is well on its way to becoming a global reserve asset that will supplement the US dollar.
After the two assets weathered a more than 50 percent decline during the summer, Bloomberg’s Crypto Outlook named a $100,000 Bitcoin and $5,000 Ether (ETH) the “path of least resistance.”
McGlone stated, “Crypto-assets appear in a revived and refreshed bull market with the 2H benefit of a steep discount from previous highs at the start,” alluding to the second half of 2021. Portfolios without BTC or ETH exposure, he claims, are “naked,” as proven by gold and government bonds’ relative underperformance:
“Portfolios of some combination of gold and bonds appear increasingly naked without some Bitcoin and Ethereum joining the mix. A macro risk-off decline is a primary threat for the crypto bull market.”
While estimates of a six-figure Bitcoin price aren’t new, McGlone’s long-term forecast places Bitcoin near the heart of the global financial system.
“We foresee a future of Bitcoin, the digital reserve asset, complementing the dollar reserve currency.”
