Bitcoin and Ether heading $100K and $5K in 2022: Bloomberg Intelligence

Despite
cryptocurrency
markets
dropping
to
multi-month
lows,
major
cryptocurrencies
like
Bitcoin
(BTC)
and
Ether
(ETH)
are
likely
to
hit
new
all-time
highs
in
2022,
according
to
a
Bloomberg
analyst.

BTC
and
ETH
will
be
heading
toward
$100,000
and
$5,000
this
year,
respectively,
according
to
a
forecast
by
Bloomberg
intelligence
analyst
Mike
McGlone published
in
his
latest
market
analysis
on
Thursday.

“A
key
issue
we
see
is
the
Federal
Reserve,
as
it
faces
the
greatest
inflation
in
four
decades,
more
inclined
to
raise
interest
rates
if
risk
assets
continue
climbing,”
McGlone
noted.

McGlone
also
predicted
that
BTC,
Ether
and
United
States-pegged
stablecoins
will
maintain
dominance
in
2022,
while
some
top
2021
winners
like
the
Binance
Coin
(BNB)
and
Solana
(SOL)
“may
end
the
pattern
of
temporary
visitors
among
the
top
five.”

According
to
the
analyst,
expectations
for
the
Fed.
rate
hikes
in
2022
could
support
a
“win-win
scenario”
for
Bitcoin
versus
the
stock
market,
with
BTC
likely
gaining
“upper
hand”
versus
stocks
this
year.

“Crypto
assets
are
tops
among
the
speculative
and
risky,
but
the
first
born
is
rapidly
transitioning
toward
becoming
the
world’s
digital
reserve
asset,”
McGlone
wrote.

The
latest
Bloomberg
intelligence
analysis
follows
similar
previous
forecasts
by
McGlone.
In
early
December
2021,
the
analyst
predicted
that
2022
would
be
good
for
both
BTC
and
gold,

forecasting
them
to
hit
$100,000
and
$2,000
,
respectively.
Previously,
he
had
successfully

predicted
the
approval

of
the

first
BTC
exchange-traded
fund

in
the
United
States
in
October
2021.

McGlone
is
not
alone
in
thinking
that
BTC
could
potentially
hit
$100,000.
In
the
latest
note
to
investors,
Goldman
Sachs
co-head
of
global
FX
and
EM
strategy
Zach
Pandl
suggested
that
Bitcoin
could
overtake
50%
of
the
store
of
value
market
share
over
the
next
five
years,
with
BTC
price

potentially
surging
over
$100,000

by
capitalizing
on
gold’s
market
share.



Related:




Brock
Pierce
and
Tom
Lee
tip
$200K
BTC
in
2022,
despite
missing
the
mark
in
2021

At
the
time
of
writing,
BTC
is
trading
at
$41,873,
down
around
11%
over
the
past
seven
days,

according

to
data
from
CoinGecko.
As
Cointelegraph
reported,
BTC
started
dropping
after
the
Fed’s
December
FOMC
meeting
on
Wednesday
showed
that
the
regulator
was

committed
to
increasing
interest
rates

in
2022.
The
market
has
also
been
shrinking
in
response
to

internet
blackouts
in
Kazakhstan

amid
local
anti-government
protests.

read original article here