Mike McGlone, a senior commodity strategist at the research arm of Bloomberg, argues that an about turn and fresh turmoil for macro would play to the strengths of Bitcoin.
Bloomberg Intelligence says Bitcoin could hit $100,000 and gold $2,000 in 2022 as global markets face “deflationary forces.”
Mick McGlone tweeted on Dec. 9, forecasting that 2022 would be a great year for both BTC and gold.
As inflation hits the headlines globally this month, Bitcoin has been criticized for its alleged role as a hedge thanks to its 39% drawdown from all-time highs.
As reported by Cointelegraph, the latest Consumer Price Index (CPI) data of the United States is due on Friday, with analysts presuming that inflation will have sharpened 6.7% year-on-year.
“$100,000 Bitcoin, $50 Oil, $2,000 Gold? Peaking commodities and the declining yield on the Treasury long bond point to risks of reviving deflationary forces in 2022, with positive ramifications on Bitcoin and gold.”
Mick McGlone is popular for his bullish views on Bitcoin. Gold, much maligned this year, may also benefit from macro headwinds.
The debate on Bitcoin versus gold keeps raging, with proponents attacking each other as neither camp sees the gains they assumed would characterize the fourth quarter. However, regarding inflation, there was a consensus.
This week, gold bug Peter Schiff queried:
“How long before investors realize that even if the Fed follows through with its inflation fighting plan to taper QE and raise interest rates slightly in 2022, that it’ll be too little too late to derail this inflation juggernaut?”
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Wilson is a successful crypto analyst and content writer with many years of writing experience in finance and blockchain fields. His interests are in crypto-asset research and technical analysis, Fintech, Blockchain, DeFi, NFTs, and Personal Finance.