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Mike McGlone talks about the unique features of bitcoin
According to Mike McGlone, senior commodities strategist at Bloomberg Intelligence, bitcoin is «uniquely positioned to thrive» in the face of rising US interest rates. In his latest tweet, the analyst emphasized that the ability to trade «24x7» as well as historical performance make the flagship digital coin a «strong candidate for investment.»
According to McGlone, this is especially true at a time when the US Federal Reserve is signaling a tightening of monetary policy. The expert also pointed to the 20-week moving average on the BTC/USD chart. He emphasized that current trends could have implications for all risky assets, including traditional stocks. The researcher noted that cryptocurrencies can signal «future liquidity and speculative direction in larger markets.»
According to McGlone, the annualized rate on federal funds futures (FF13) exceeds 5%, which indicates limited prospects for liquidity easing by the Fed. The expert emphasized that BTC showed a similar picture in early 2022.
However, the expert also warned that a rapid increase in the federal funds rate from 0 to 5.25% could create problems for all risky assets, including cryptocurrencies.
As of September 14, bitcoin BTC $75,615.79 Bitcoin 0.18% Market capitalization $1.5 trillion VOL. 24 hours $3.4 billion was able to overcome the psychological mark of $ 26,000 — the flagship cryptocurrency is trading at $ 26,283. The coin’s market capitalization amounted to $ 512.23 billion. Traders made daily trading deals worth $ 13.97 billion. Bitcoin’s dominance in the market increased to 49.1%.