Bloomberg’s Mike McGlone: Bitcoin Ready to Flip Gold with $50K in Sight

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by staff writer · 3 min read
Bloomberg’s Mike McGlone: Bitcoin Ready to Flip Gold with $50K in Sight
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An estimate of Bitcoin’s volatility index from the last 60 days shows that it’s been around 4.61%.

In the wake of a new digital era, Bitcoin is quickly becoming the champion. In its rise, it is becoming evident that gold has no place in the new world. Bitcoin just edges gold in every attribute and with Bitcoin dropping its infamous volatility, adoption coming at it from an institutional approach, the future has never looked brighter. So is Bitcoin about to flip Bitcoin? Bloomberg’s Mike McGlone certainly thinks so. In a report, the commodity strategist illustrated Bitcoin’s potential. McGlone proved the digital asset is gaining greater appeal than Bitcoin, and further increasingly attracting gold investors who are pulling their money out of gold and into Bitcoin. McGlone has gone further to predict that Bitcoin will reach $50K and its volatility could reach gold’s levels.

McGlone Says Mass Adoption Plays a Key Role in Bitcoin Price Growth

One of the key changes outlined that has led Bitcoin to become a new favorite and guarantee a continued bullish trend, is the new institutional interest. Starting late last year, there has been increased interest in Bitcoin. Among the firms leading in this is Grayscale. Since introducing a Bitcoin trust, the firm has gone on to accumulate over $2B worth of the asset. As the Bitcoin trust has continued to grow, gold’s has been falling, signaling a change in trend with gold seeing outflows that flow into Bitcoin. For some investors, the rule has been a 5% allocation into Bitcoin. But with confidence ever-growing on Bitcoin’s potential this percentage could reach as high as100%.

Beyond this, its co-founder, who has been vocal about his bullish Bitcoin forecast, this week invited over 1,000 corporations and investors to introduce them to Bitcoin. In the event, he predicted that an “avalanche” of companies will convert their balance sheets into Bitcoin.

In terms of institutional adoptions, service providers such as Paypal Holdings Inc (NASDAQ: PYPL) and Visa Inc (NYSE: V) are also looking to get a piece of the pie. Paypal got their skin into the game late last year by allowing users to purchase crypto on their platform. Now, in their latest earnings report, Bitcoin is outlined as the company recorded a 16M increase in new users and a 39% earning increase.

Visa, on the other hand, has in the last few days announced the launch of its new software that will help banks offer Bitcoin to customers. This is reportedly already being tested by neobank and several fintech startups before the final launch later in the year.

With institutions pushing for mass adoption, Bitcoin is set to go into a new gear and accelerate in an unprecedented fashion.

Bitcoin Investors Show Resilience

Bitcoin has long been regarded as an extremely volatile asset. In fact, this remains one of the main reasons the SEC continues to reject a Bitcoin ETF. It is also one of the few positive attributes that gold has over Bitcoin. However, if the new year is anything to go by, this could soon be a thing of the past. Mike McGlone thinks that the digital assets volatility could drop to gold’s level.

Since topping at $40K and dropping to $30K low, movement in this range has shown that investors have grown resilient. An estimate of Bitcoin’s volatility index from the last 60 days shows that it’s been around 4.61%. This is half its record from mid last year.

By continuing to show little volatility and continuous appreciation and adoption, Bitcoin looks set to catch gold’s market cap and possibly surpass it in all aspects.

Bitcoin News, Cryptocurrency news, News
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