Bloomberg Intelligence’s senior commodity strategist, Mike McGlone, shared his views on the future of Bitcoin (BTC) and the general markets in an interview.
McGlone described Bitcoin's rise to $100,000 as the “peak of the bubble,” suggesting the price could drop to $10,000.
He explained this potential decline as being due to Bitcoin becoming a risky asset and its high correlation with the S&P 500. McGlone argued that this correlation is at an all-time high and that the US stock market must remain elevated for Bitcoin to continue its rise.
He noted that another risk factor is that there are currently more than 21 million different cryptocurrencies in the cryptocurrency market, compared to just one, Bitcoin, in 2009.
McGlone predicts that gold prices will continue to outperform most risk-on assets.
McGlone, who sees a decline in the US stock market as the main catalyst for the gold price rally, sees gold heading towards $4,000. He argues that the final quarter of 2025 “will not be good for stocks, risk assets, and Bitcoin.”
*This is not investment advice.
I agree with his assessment that gold will outperform for the rest of the year, I do not see Bitcoin down to 10,000 but I agree it is still correlated to the stock market and price could depreciate back down to 70,000 a coin under that price institutions will step in and buy.