McGlone, one of the leading analysts of the cryptocurrency markets, made comments on the price performance of the leading cryptocurrency. So, will the Bitcoin price rise in the coming days? Here are the details…
“Bitcoin and Ethereum stand out!”
According to McGlone, senior crypto strategist at Bloomberg Intelligence, Bitcoin and other cryptocurrencies are trading at very low levels. Currently trading almost 66.4 percent lower than its all-time high on November 10 last year, Bitcoin remains one of the most valuable digital assets in the cryptocurrency space by market cap. According to Forbes, McGlone's observations come from technical analysis focused on a particular indicator. McGlone goes on to say that Bitcoin has reached its lowest price ever compared to its 100-week moving average, describing it as “extremely discounted in a persistent bull market.” On the other hand, Bloomberg analyst states that the role of the Federal Reserve should not be underestimated. The words of the famous strategist are as follows:
“Bitcoin and cryptocurrencies were an important part of the 2021 rush and thus the 2022 flush, but I see Bitcoin and Ethereum coming to the fore.”
For Forbes, McGlone said, “Bitcoin is on its way to becoming a global digital security in a world that goes like this, and Ethereum is the primary driver of the digital revolution as it has proven to be the most widely traded token.”
Big names in the industry made comments about BTC!
Other big names in the industry, such as Budd White, co-founder of crypto firm Tacen, weighed in. White's view is that Bitcoin is not only oversold, but is currently in the accumulation phase. “If you look at the Realized Value, or MVRV, of Bitcoin's Market Cap, we'll see it around one, which indicates that the market cap of the asset has fallen to its true utility value,” Budd White said against Forbes. This value comes after major liquidations in the industry such as the Terra collapse and Elon Musk's $1 billion sale in Tesla Shares.
White pointed out that as a result of the increasing numbers, markets are pricing in more aggressive monetary tightening. This may indicate that the cryptocurrency market is splitting from equities, but White does not deny that Bitcoin may experience another drop.
“I am not saying that we are experiencing the divergence of Bitcoin from equities. We can definitely experience another drop in terms of Bitcoin price. But this relative strength tells me that the bulk of the Bitcoin sale may be lagging behind. And to avoid any external shocks to the markets – such as credit markets that are on the verge of breaking out – I think investors are still looking at Bitcoin as a good buying opportunity at these levels.”
Bitcoin is currently trading at $23,158.23 and has been hovering below 25,000 since June, hinting that the digital asset may be in the accumulation phase. It's important to note that while it's trading down 66 percent from its 2021 all-time high, the stock and crypto drop may not be clear just yet. There are still macroeconomic and geopolitical pressures that could further pull investors back from crypto assets. All eyes have been on how the Fed will respond to rising inflation and possible recession threats. However, many experts believe that the "bad news" may have already priced in and investors will continue to see upward movement in the short term.