Bloomberg Analyst: Bitcoin (BTC) on Road to $100K Catching Up with Ethereum

UTC by Bhushan Akolkar · 3 min read
Bloomberg Analyst: Bitcoin (BTC) on Road to $100K Catching Up with Ethereum
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Mike McGlone noted that Bitcoin would soon catch up with Ether’s performance amid rising institutional adoption and strong accumulations by the whales.

The world’s second-largest cryptocurrency Ethereum (ETH) has registered a solid rally over the last year. As of press time, Ether (ETH) has been trading 6.78% up trading at a price of $3139 and a market cap of $367 billion. Ether (ETH) has been constantly outperforming the world’s largest cryptocurrency Bitcoin. While Bitcoin (BTC) is trading at a 50% premium year-to-date, Ethereum (ETH) has been trading at a 500% premium as of now. It clearly shows Bitcoin has a lot of catching up to do here.

However, senior commodity strategist at Bitcoin Intelligence – Mike McGlone – is confident of BTC’s journey ahead. McGlone believes that Bitcoin will soon catch up with Ether’s gains. Thus, he expects the BTC price to touch all the way to $100,000.

The analyst’s comments came as the BTC price broke past $46,000 levels on Monday. As of press time, Bitcoin is trading 4.85% up at a price of $45,815 and a market cap of $860 billion. The analyst didn’t elaborate on the factors that would help Bitcoin (BTC) to catch up with Ethereum performance.

However, in his previous report, he mentioned a few aspects that would help the benchmark crypto prices to move to six figures. The report notes:

“About 80% of Bitcoin and Ethereum, the majority of the Bloomberg Galaxy Crypto Index (BGCI) performance comes from the broader perception of the first-born crypto as a global digital-reserve asset, plus accelerating digitization of fintech and the monetary system.”

Bitcoin (BTC) Heading to the Moon

Last week itself, Bloomberg published its report for the month of August. It highlights some key bullish indicators like declining BTC supply and rising demand and adoption. The report also states that Bitcoin is moving towards becoming the digital Gold.

The report also mentions that Bitcoin is heading for another price discovery this year itself. Meaning, it will surpass its all-time high of $64,000 very soon. The report also notes:

“This year is prime for Bitcoin to take the next step in its price-discovery stage and we see a refreshed bull market. Speculative excesses have been expunged, Ethereum has earned the status as a worthy companion and most of the pressure factors are longer-term bullish. China crackdowns and U.S. regulation are part of maturation”.

Citing another bullish indicator, on-chain data provider Santiment reports a strong decline in the BTC exchange supply. It adds the amount of BTC on exchanges has dropped to its lowest since June 2019. This is bullish “as large exchange selloffs are less common when less supply is at risk on exchanges”.

Another data from Glassnode shows that the dominance of large Bitcoin transactions worth over $1 million has doubled over the last year. This is a sign of rising institutional interest in Bitcoin.

Analysts at Autonomous Capital Management believe that the Bitcoin ETF approval will accelerate the BTC adoption.

“If we were to assume that Bitcoin gets the same weighting as the current gold weighting in investor’s portfolios, its price would be 2.8x times higher or roughly $112,000,” the analysts added, comparing with the gold’s weightage in institutional portfolios.

Other crypto news, please, read here.

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