Bitcoin Constructionviously Dashes Down to $10,000? Advisement from Bloomberg Elder!
In the world of digital assets, Bitcoin (BTC) continues to be a subject of intense debate. The cryptocurrency, currently trading at Rp 1,823,446,995, is characterized by high uncertainty, as evidenced by the conflicting predictions about its future price.
On one hand, Bernstein remains optimistic about Bitcoin's potential, predicting that it could reach $200,000 by the end of the year. This optimism is attributed to the post-halving effect and the demand for Exchange Traded Funds (ETFs).
However, Mike McGlone, Senior Commodity Strategist at Bloomberg Intelligence, paints a different picture. He predicts that Bitcoin could potentially drop to $10,000 if existing risks persist. McGlone observes that Bitcoin has "added zeros" to its price several times in its history, but has often lost those zeros during periods of correction.
The potential for a Bitcoin price correction is a major point of contention in the digital asset industry. McGlone's predictions have sparked a debate, centred around the potential for a price correction of almost 90%. This correction could be triggered by US tariff policies, which could lead to a sharp decline in Bitcoin as a high-beta asset.
The digital asset market's current state of flux is further evidenced by the circulating supply of Bitcoin, which stands at Rp 19,916,909, and the market capitalization of Bitcoin, which is Rp 36.180 trillion. The trading volume of Bitcoin is Rp 617,9 trillion.
Interestingly, Bitcoin is increasingly correlated with traditional risk assets such as the S&P 500 index. Current conditions, such as the potential decline of the S&P 500 to around 4,000 and the ratio of market capitalization to GDP for US stocks at 2.2, are seen by McGlone as indicative of a market reset.
The heated debate in the digital asset industry is not surprising given the volatility and risk associated with crypto trading activities. The conflicting predictions about Bitcoin's future price highlight this volatility, making it a challenging but potentially rewarding investment opportunity.
It's worth noting that Bernstein's optimistic predictions stand in stark contrast to McGlone's more cautious outlook. However, both experts agree on one thing: Bitcoin's future is uncertain, and investors should approach crypto trading with caution.
Bloomberg appointed Mike McGlone as a strategic commodities analyst, reflecting the growing importance of digital assets in the global financial landscape. As the digital asset industry continues to evolve, it will be interesting to see how the debate around Bitcoin's future unfolds.
