Bloomberg strategist Mike McGlone is known by many as an ardent supporter of bitcoin. Over the past few years, he has repeatedly expressed aggressive forecasts regarding the prospects of cryptocurrency.
Now the same analyst has suddenly become less optimistic. If earlier he predicted that BTC could reach $100,000 in 2022, now McGlone does not exclude the appearance of barriers in this direction.
The Bloomberg strategist expressed concern about the willingness of the US Federal Reserve to raise the discount rate. Moreover, the first increase is possible in March.
Due to the tightening of the Fed's monetary rate, risky assets will become a less attractive tool for investors. Accordingly, the cryptosphere, which is highly dependent on the shares of IT companies, will also suffer.
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However, in general, McGlone remains calm and believes that the Fed rate hike will weaken the influence of the stock market, which will positively affect the attractiveness of alternative instruments and bitcoin in particular.
Let's see how things will develop further, said McGlone.
Bitcoin may suffer, but less than stock indicators, the analyst predicts.