KEY POINTS

  • Mike McGlone: Bitcoin will be worth $100,000 by 2025
  • Says Bitcoin will be the asset to outperform the entire crypto space
  • Cathie Wood also believes that BTC will soon turn bullish

An analyst at Bloomberg Intelligence has predicted that Bitcoin (BTC), the world's biggest cryptocurrency, will be worth $100,000 by 2025, outperforming all the other digital assets in the space.

Mike McGlone, a senior commodity strategist at Bloomberg Intelligence, was a guest at Kitco News to discuss Bitcoin and inflation with Michelle Makori, Editor-in-Chief of Kitco News, on Saturday.

McGlone said that once the current bear market in risky assets subsides and valuations recover again, cryptocurrencies will outperform all other asset classes, with Bitcoin (BTC) outperforming the entire crypto space. As per McGlone, the current market condition is a result of the most severe inflation in the past 40 years and the great revision to the upside is just around the corner.

“For now, I expect Bitcoin to trade lower — I don’t know by how much ... it could get down to $20,000, I doubt it does. But whatever happens, I fully expect it to get to $100,000 in two years,” he said.

McGlone believes that Bitcoin will become one of the best assets to hold in the next two years as deflation will follow and markets recover. Both Bitcoin and S&P 500 revisited their 100-week mean at the end of May for the first time in nearly two years, as per McGlone. Bitcoin lost the $30,000 price support in May, and Nasdaq too broke an importnat support level.

McGlone explained why he is bullish on crypto assets, especially Bitcoin, by pointing to the growth and adoption rate of these digital assets over the years.

“Based on the total market cap of all equities on the planet ... crypto is about 1% of that. A few years ago, they were 0.01%. A few years before that, they were even less,” he said.

Interestingly, McGlone compared BTC with digital gold and said that as adoption increases in a world that is rapidly going digital, BTC supply is reducing, introducing rarity in the crypto space.

“I think what’s going to happen initially is we’re going to get through this flush period ... then I fully expect Bitcoin to be the first asset to go back to its outperforming trajectory,” McGlone predicted.

The CEO and founder of ARK Investment Management, Cathie Wood, also said that Bitcoin is about to break out from its bearish trajectory, citing on-chain data.

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