A Bloomberg analyst has speculated that Bitcoin’s recent outperformance relative to gold signals the beginning of a new supercycle


Mike McGlone, a senior macro analyst at Bloomberg, suggests that Bitcoin’s (BTC) massive outperformance of gold may signal a new supercycle for the king cryptocurrency.

McGlone informs his 55,000 Twitter followers that Bitcoin’s low and increasing acceptance, coupled with its decreasing quantity, is one of its primary benefits over gold.

“In search of a super cycle? Bitcoin Outperforms Commodities With Decreasing Risk — Bitcoin outperforming gold, the best-performing commodity of the old guard from 2023 to 20 March, by over 10x may be suggestive of a super cycle occurring in the cryptocurrency market.”

The expert also predicts that Bitcoin may be in a time of transition from being a risky asset to a safer investment against economic instability and financial crises. He compares BTC to the KBW banking index, which measures the biggest publicly listed banks and thrifts in the United States, and finds significant diverging strength in Bitcoin’s favor.

McGlone said earlier this week that he doubts the global economy would see similar times of strong dollar liquidity as in the past, which might drive investors to adopt a more aggressive posture on Bitcoin, gold, and bonds.

“We will not experience a similar re-liquefication as in the past because of the inflation lessons that will reverberate throughout our lives if they’re-liquefy’ too quickly and excessively. Consequently, this is the direction the world is now heading. Consequently, this environment is different for things that rely on this, such as US stocks. That is finished.

And this is due to the recession. Therefore, we must endure this recession if we don’t receive it. This is shocking. Before two weeks ago, the yield curve’s likelihood was the highest it had ever been. That cannot be considered refused. Therefore, we must endure this recession before considering risky assets like stocks. But look at the performance of gold, bonds, and Bitcoin. I believe these are some items consumers would want to purchase during market falls when a recession approaches.”

Also Read: US Government Launches Attack on Bitcoin in New Report While Pushing CBDC

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