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Bloomberg strategist confident for Bitcoin and Ethereum

Bloomberg strategist confident for Bitcoin and Ethereum

Mike McGlone, the senior commodity strategist for Bloomberg, has published a September crypto outlook report, in which he states that “the bulls are in control”, and that Bitcoin is on course for $100,000, and Ethereum to $5000. 

Mike McGlone has generally been extremely positive on Bitcoin and the cryptocurrency market as a whole. Back at the beginning of August he made a call that Bitcoin could reach $100,000, and that Ethereum could get to $4000. 

He has now modified that call a month later by authoring a report that confirms the Bitcoin call, and that increases the Ethereum estimate to $5000. McGlone says in the report that he believes the crypto rise to be more about a “revolution in money and finance that’s in early price discovery days”, rather than “just hype and speculation”. 

McGlone refers to Bitcoin as the “store-of-value", while he terms Ethereum as the “DeFi building block”. 

The Bloomberg analyst appears to be even more bullish on Ethereum than on Bitcoin. He refers to the recent network upgrade that is helping to reduce supply and fuel the upward bias, as well as NFT’s that are primarily using the Ethereum blockchain. 

Another bullish theme for Ethereum is DeFi, and McGlone talked of a “DeFi revolution” and how this wasn’t considered at all in the recent US infrastructure bill pertaining to crypto. 

“Overlooked factors in recent U.S. congressional debates are the revolution that crypto-assets are leading in raising the living standards of the world's unbanked and the rampant free-market capitalism of digital assets.” 

McGlone talked of the NGU phenomenon (number go up). This was initially used to describe the scarcity of the Bitcoin supply, but now, according to the analyst, could better describe Ethereum in the future, as it continues on its trajectory to a possible “flippening” of Bitcoin towards the end of 2022. 

Even though McGlone calls Bitcoin a “laggard” when compared with Ethereum, he does see the number one cryptocurrency becoming a global reserve asset. He talks about it being “nobody’s liability or project”, which probably refers to how it cannot be manipulated or taken down, given how widespread the network is, leading to no single point of failure. 

The report even goes as far as mentioning a “realignment”, that will see Bitcoin running in parallel with the dollar: 

“We foresee a future of Bitcoin, the digital reserve asset, complementing the dollar reserve currency.” 

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.