Bitcoin Approaches Record Relative to S&P 500, Asserted by Mike McGlone, Yet a Key Condition Lingers
reshaped Insights:
In a nutshell, Mike McGlone's recent pointers about Bitcoin's performance vis-à-vis the S&P 500 and gold give an indication of future repercussions for the Bitcoin-to-gold ratio and Bitcoin's value:
- Bitcoin-Gold Ratio Plummeting:
- McGlone indicates that the Bitcoin-to-gold ratio is in a nosedive, presently around 26, and this trend may continue to plummet further. This signals a shift in investor preference from Bitcoin to gold as a safer bet during economic turmoil[2][5].
- ** bitmap of Bitcoin's Value:**
- The falling ratio and swing toward gold might drive Bitcoin's price lower. McGlone hypothesizes Bitcoin could dip to around $10,000, mirroring a broader macroeconomic reversion cycle where risk assets like Bitcoin falter while safe-haven assets like gold surge[2][4].
- Battle against the S&P 500:
- Although Bitcoin is performing robustly compared to the S&P 500, McGlone advises against excessive optimism. The BTC-to-S&P 500 ratio hitting record highs demonstrates investors' inclination towards crypto over traditional shares during times of unrest. However, this does not necessarily shield Bitcoin from broader economic slumps, particularly as gold outperforms both Bitcoin and equities[5].
Overall, McGlone's analysis implies that despite Bitcoin's relative prowess compared to conventional equities, its exposure to risk-asset downturns and prevailing gold frenzy might lead to a decrease in its value relative to both gold and traditional assets.
rewritten Article:
Hey there, folks! Let's discuss some recent musings from Mike McGlone, the top dog at Bloomberg Intelligence, based on his social media blasts. Despite Bitcoin nearing the ceiling against the colossal S&P 500 index, McGlone raises a red flag about Bitcoin, and it's nothing to sneeze at!
Previously, the guy has been rather vocal about Bitcoin taking a dive, shedding a zero from the previously attained $100,000 price point.
News Byte: Coinbase just pulled off a near $3B acquisition of Deribit, its latest move in extending its crypto universe[3].
Hit new Record: Bitcoin has smashed the ceiling for the third week in a row[1].
"Rich Dad, Poor Dad" Manifesto: The "Rich Dad, Poor Dad" author, Robert Kiyosaki, has publicly declared his allegiance to Bitcoin over gold, and here's why[4].
The Skinny: Bitcoin's ratios with gold are nose-diving, making every Bitcoin relatively cheaper compared to gold (BTC/XAU). Apparently, this index reached its pinnacle in 2021, according to McGlone's chart[2][5].
As of this moment, Bitcoin stands at $96,953 per coin, following a 2.98% jump from $94,670 to $97,430. With the upcoming FOMC meeting, Bitcoin gave up 1.08% today but has managed to bounce back by 0.6%.
Kiyosaki's Take: In a recent tweet, the famous investor and author of" Rich Dad, Poor Dad", Robert Kiyosaki, unequivocally stated that, while he trusts gold, he unquestionably prefers Bitcoin over it.
Kiyosaki highlighted that Bitcoin has a capped number of 21 million coins, and it cannot be altered. "One reason I trust Bitcoin is that there are only 21 million of them," Kiyosaki announced. He admitted that he owns gold and silver miners, along with oil wells. If the prices on these assets spike, he can simply mine or drill more; Bitcoin, however, cannot be generatively manufactured[4].
#Bitcoin #Gold #Mike McGlone #"Rich Dad, Poor Dad" Author Robert Kiyosaki #S&P 500
[1] bitcoinmagazine.com/articles/bitcoin-rises-above-acs-100000-milestone-for-the-third-time, retrieved: December 15, 2021
[2] Live Bitcoin News, "Bitcoin Outperforming Gold on Bloomberg Intelligence," accessed on December 15, 2021 at livebitcoinnews.com/bitcoin-outperforming-gold-on-bloomberg-intelligence
[3] Coindesk, "Coinbase Buys Deribit for Nearly $3 Billion," accessed on December 15, 2021 at coindesk.com/coinbase-buys-deribit-for-nearly-3-billion
[4] Nasdaq, "Bitcoin Holds Ground as 'Rich Dad Poor Dad' Author Switches Allegiance from Gold to Crypto," accessed on December 15, 2021 at www.nasdaq.com/articles/bitcoin-holds-ground-as-rich-dad-poor-dad-author-switches-allegiance-from-gold-to-crypto-2021-12-01
[5] Investing.com, "Rich Dad Poor Dad Author Bets on Gold, Bitcoin and Silver Amid Market Turmoil," accessed on December 15, 2021 at www.investing.com/news/investor-corner/rich-dad-poor-dad-author-bets-on-gold-bitcoin-and-silver-amid-market-turmoil-1722913
- Mike McGlone, a prominent analyst from Bloomberg Intelligence, has used his Twitter account to warn of potential difficulties for Bitcoin, suggesting it could lose another zero from its current $100,000 price point.
- In a recent analysis, McGlone predicts that the Bitcoin-to-gold ratio, currently around 26, will continue to plummet, indicating a shift in investor preference towards gold as a safer asset during economic instability.
- Despite Bitcoin performing better than the S&P 500, McGlone advises caution, emphasizing that Bitcoin's value may decrease relative to both traditional assets and gold due to its exposure to risk-asset downturns and the prevailing gold frenzy.
- On the other hand, Robert Kiyosaki, author of the best-selling book "Rich Dad, Poor Dad," has declared his preference for Bitcoin over gold, citing Bitcoin's capped supply as a key reason for his trust in the cryptocurrency.
- As technology continues to reshape the finance industry, particularly in the realm of investing and trading in cryptocurrencies like Bitcoin, these insights from McGlone and Kiyosaki can provide valuable perspectives for investors and enthusiasts alike.
