Bitcoin to Hit $50,000 Soon: Bloomberg Analyst

Mike McGlone, the Senior Commodity strategist at Bloomberg, asserted that Bitcoin (BTC) is a better investment than gold in January 2021. McGlone is one of the few mainstream analysts who are believers in Bitcoin. The analyst was bullish on BTC even during its bear market in 2018.

In November 2020, McGlone correctly predicted that BTC would scale the $20,000 level for the first time since 2017. He also added that the $20k break would be a stepping stone for the benchmark cryptocurrency to realize a $1 trillion market cap.

While his long-term prediction is that Bitcoin will hit $100,000 by 2025, his near-term forecast is that the cryptocurrency will hit $50k, considering its price performance over recent months.

McGlone asserted that the possibility of Bitcoin hitting $50k in the near-term far outweighs the probability of the cryptocurrency falling to $20,000.

That said, he highlighted that “Bitcoin may be better than gold.” Bitcoin outperformed the yellow metal, considered to be the de facto safe-haven asset, in 2020. While Bitcoin rose by more than 300%, gold rose by a meager 25%.

Meanwhile, Bitcoin recorded a new all-time high of $40,400 earlier today, in an unbelievable 11% rally. That said, the cryptocurrency is now 20% away from McGlone’s prediction.

Key BTC Levels to Watch — January 7

Bitcoin continues on its unrelenting bull run as it breaks yet another crucial price barrier. The cryptocurrency cleared the $40k resistance and touched the $40,400 high. This price increase got followed by a sharp drop to the $36,100 level, or -10%. However, the cryptocurrency has since recovered from this fall and now trades around $38,600 (press time).

It is worth mentioning that BTC is well within overbought conditions on our hourly MACD indicator, and a significant correction could be brewing.

Meanwhile, our key resistance levels are at $39,800, $40,396, and $40,500. While our key support levels are at $37,800, $36,100 and $34,400.

Total Market Capitalization: $1.06 Trillion

Bitcoin Market Capitalization: $732 billion

Bitcoin Dominance: 69%

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