Bitcoin Still on Track to Hit $100,000 in 2022: Bloomberg Strategist
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Senior Commodity Strategist at Bloomberg Mike McGlone recently asserted that 2022 could be a big year for Bitcoin (BTC), noting that the benchmark cryptocurrency will hit the $100K mark.
With the prevailing pandemic, global financial systems are taking heavy blows and have suffered the most. Safety measures employed by employers and organizations to curb the spread of the virus triggered a downward spiral effect for productivity, which crippled the global economy by extension.
Meanwhile, central banks across the globe began printing money at an alarming rate to cushion the damaging effects of the pandemic on the population. However, these measures have caused inflation to spiral out of control. Last week, the US reported its highest inflation figures in four decades—6.8%.
With that, national currencies have begun losing purchasing power, but Bitcoin has witnessed the exact opposite, making it a solid inflation hedge.
That said, McGlone explained that “deflationary forces” will rule the day next year, and inflation will stop moving across the globe. This, according to the Bloomberg strategist, could launch the flagship cryptocurrency to significant highs, with $100K being the minimum.
Also, McGlone expects gold and oil to perform positively as well, predicting that they could hit $2,000 and $50, respectively.
Another expert from Bloomberg recently noted that many investors currently protect their funds by getting into Bitcoin. The expert also called the primary cryptocurrency “the best inflation hedge around.”
Key Bitcoin Levels to Watch — December 12
BTC entered a steady recovery momentum yesterday after holding bears off from pushing the price below the $47K mark. The benchmark cryptocurrency now challenges the $50K psychological juncture after snapping the $49.5K barrier (50 SMA) a few hours ago.
While I cannot say for sure that the FUD bias is finally over, a break above the $51.4K level—where my descending trendline resisted—should negate the bearish bias and help the flagship cryptocurrency don a bullish bias.
That said, we could see some sideways movements before BTC crosses $51.4K, given the drought of trading volume present.
Meanwhile, my resistance levels are at $50,000, $50,500, and $51,400, and my key support levels are at $48,500, $47,000, and $46,000.
Total Market Capitalization: $2.27 trillion
Bitcoin Market Capitalization: $938.7 trillion
Bitcoin Dominance: 41.2%
Market Rank: #1
