Bitcoin to Hit $100K By Year’s End: Bloomberg Executive
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As Bitcoin (BTC) continues to claw its way back to its recent highs, the list of prominent personalities predicting a $100K price tag for the benchmark cryptocurrency by year’s end continues to grow. The latest addition to this list is Mike McGlone, Senior Commodity Strategist at Bloomberg, who gave three reasons for his optimism.
Firstly, he highlighted the historical trading trends of the primary cryptocurrency, coupled with its decreasing supply. This deflationary attribute comes from the halving property of the network, which halved Bitcoin mining reward every four years.
The second factor is the outlook of long-term BTC holders, who refuse to sell their coins even following the recent price crash earlier this month. McGlone noted that this coincides with the stock-to-flow model (S2F). Reviewing the stock as the number of existing reserves and the flow as the annual supply of BTC in the market, the S2F also sees the flagship cryptocurrency hitting $100K by the end of 2020.
The Bloomberg executive’s third reason is the increasing adoption, which works excellently with the diminishing supply. Economics dictate that a drop in supply amid a steady or increased demand translates into a price boom for the underlying product.
With the growing demand for BTC, especially from institutional investors, we should witness a massive price spike soon.
Key Bitcoin Levels to Watch — September 19
Since its reemergence above the $47K mark on Tuesday, BTC has maintained a sideways momentum between $48.5K and $47K. That said, the benchmark cryptocurrency surfaced above the $48.5K barrier yesterday, peaking at $48.8K.
BTC failed to sustain this bullish move and has fallen back below the critical $48.5K level. However, the primary cryptocurrency currently holds above the $48K mark, bolstered by the 50-day SMA. We expect a bullish continuation over the coming hours above the $48.5K area as traders eye the $50K mark.
Meanwhile, our resistance levels are at $48,500, $49,500, and $50,000, and our key support levels are at $47,600, $47,000, and $46,000.
Total Market Capitalization: $2.31 trillion
Bitcoin Market Capitalization: $900 billion
Bitcoin Dominance: 42.3%
Market Rank: #1
