Bitcoin, the leading cryptocurrency by market capitalization is currently priced at $10.7k. The asset, which saw its most recent high of $12,050 on the 1st of September 2020 has seen a drastic drop. Despite these, Mike McGlone of Bloomberg is optimistic about bitcoin, saying the asset will “come out ahead.”
Bloomberg Analyst Expects Bitcoin and Gold to Bounce Back
Mike McGlone is a senior analyst at Bloomberg. In a recent tweet, Mike shared his thoughts on gold and bitcoin. He mentioned that though gold and bitcoin has seen a return back to a “Decisive Support Zone, they will “come out ahead.” This he ties to the fact that declining equity prices usually encourages more monetary and fiscal stimulus.
Bitcoin Revisiting Old Resistance Level, Now Support; Holds on Strongly
Mike, alongside his thoughts, also shared a price chart of both gold and bitcoin that the $10K key region had been a significant resistance for BTC which was tested multiple times during the year. And current happenings only show a test of this region and have so far held firmly, making it a credible support zone.
Despite Mike’s comparison of gold and bitcoin, ZyCrypto earlier reported that Millenials prefer bitcoin to gold asserted by Ruchir Sharma, chief global strategist and head of emerging markets at Morgan Stanley. This could give bitcoin an edge over gold as an investment instrument.