McGlone thinks that the growth in the demand against the reduction of the supply will determine whether the price of Bitcoin will reach six digits. He said that past returns do not necessarily indicate future results, as those assets have even surpassed the leaders in the market.
In the proximity of 2022, the crucial question is whether Bitcoin will reach a maximum point or just a consolidating bullish market. Many bitcoiners expect the latter to occur.
Mike McGlone considers that the corrections that Bitcoin and Ether have suffered may provide them with relative advantages over the securities market. In general, the prices of shares have not had an adjustment of 10% since the fading of 2020.
The analyst commented on the economic consequences of the COVID-19 pandemic regarding the printing of money by central banks. He said that it could also increase the price of cryptocurrencies, considering that BTC and ETH have a limited supply.
Jerome Powell, the president of the US Federal Reserve, said that the central bank might end the stimulus measures in the short term.
McGlone Considers that 2022 Will Be Optimistic for BTC and ETH
Following the last repression against the mining activity in China, Mike McGlone predicted that the United States will entirely adopt cryptocurrencies in 2022. At the moment, many Chinese miners looking to expand their business are operating their farms in several Bitcoin-friendly states.
The expert explained that an adequate regulation could also be positive, as it would provide the companies from the sector with higher levels of certainty. He said that broader adoption would exceed most fluctuations, like the correction near 50% this year.
The analyst agrees with other experts regarding the great possibilities of Bitcoin to expand and increase its price significantly. Throughout its history, the pioneering cryptocurrency has recovered from its worst drops.
He said a tighter monetary policy could cause a significant setback on Wallstreet, but that would create a favorable situation for Bitcoin.
In general, McGlone believes that it is only a matter of time before the price of Bitcoin reaches six digits. He thinks that the growth in the demand against the reduction of the supply will be the determining factor.
Regarding Ether, McGlone stated that it had gained depth and dominance. Even though the second cryptocurrency in the market has many competitors, it has defended the challenges to its leadership.
There Are Fewer Detractors of Bitcoin and other Cryptocurrencies
McGlone recently noted that the number of detractors of cryptocurrencies is rapidly decreasing. For example, they have often seen the market capitalization of Bitcoin exceed that of leading companies.
He considers that past returns are not necessarily an indicator of future results. However, he said this new type of asset had even surpassed the leaders in the market, causing detractors to join them. He predicted that this process would play a crucial role in 2022.
According to Bloomberg, Bitcoin and Ether are ready to stay on top of the ecosystem. They say that 2022 could be an even better year than 2021 when many good things happened in the cryptocurrency market.
Analysts are aware that the relevance of cryptocurrencies like Bitcoin and Ether has become increasingly evident. Despite the current drop in prices in the crypto market, investors are still interested in buying them as a hedge against inflation.
By Alexander Salazar
