{"id":6983,"date":"2022-09-08T06:16:02","date_gmt":"2022-09-08T06:16:02","guid":{"rendered":"http:\/\/cryptoheretostay.com\/?p=6983"},"modified":"2022-09-08T06:16:04","modified_gmt":"2022-09-08T06:16:04","slug":"bitcoin-is-a-wild-card-set-to-outperform-bloomberg-analyst","status":"publish","type":"post","link":"https:\/\/cryptoheretostay.com\/?p=6983","title":{"rendered":"Bitcoin is a &#8216;wild card&#8217; set to outperform \u2014Bloomberg analyst"},"content":{"rendered":"<script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"crypto\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script>\n<p>Bloomberg analyst Mike McGlone has labeled Bitcoin (BTC) a \u201cwild card\u201d which is \u201cripe\u201d to outperform once traditional stocks finally bottom out.\u00a0<\/p>\n<p>In a Sept.7 post on Linkedin and Twitter, McGlone explained that while the United States (U.S.) Federal Reserve tightening will likely determine the direction of the stock market, Bitcoin remains a \u201cwildcard\u201d that could buck the trend, stating:<\/p>\n<p>\u201cBitcoin is a wild card that\u2019s more ripe to outperform when stocks bottom, but transitioning to be more like gold and bonds.\u201d <\/p>\n<p>The commodities strategist shared more details in a Sept. 7 report, which noted that Bitcoin was primed to rebound strongly from the bear market despite a \u201cstrong headwind\u201d toward high-risk assets:<\/p>\n<p>\u201cIt&#8217;s typically a matter of time for the fed funds gauge to flip toward cuts, and when it does, Bitcoin is poised to be a primary beneficiary.\u201d<\/p>\n<p>The report notes that while Bitcoin would follow a similar trend to treasury bonds and gold, Ethereum (ETH) \u201cmay have a higher correlation with stocks.\u201d <\/p>\n<p>The Federal Reserve\u2019s increased quantitative tightening comes amid several major interest rate hikes throughout 2022, with the most recent spike accounting for a 75 basis points increase on Jul. 27.<\/p>\n<p lang=\"en\" dir=\"ltr\">Macro in Five Charts: Crude, Commodities, Stocks, Bonds, Bitcoin &#8211; #Crudeoil may be resuming an enduring bear market and refueling the T-bond bull. #FederalReserve tightening as global GDP turns negative may help transmogrify #stocks to going down on bad news and up on good. pic.twitter.com\/KZEWsZyI8h<\/p>\n<p>\u2014 Mike McGlone (@mikemcglone11) September 7, 2022<\/p>\n<p>While it is not known exactly when the Fed&#8217;s quantitative tightening will end, some economists predicted the endpoint will begin \u201cat some point in 2023\u201d according to a Bloomberg article\u00a0published in August.\u00a0<\/p>\n<p>Quantitative tightening is a contractionary monetary policy tool that is used by central banks to reduce the level of money supply and liquidity in an economy, which can reduce spending across markets, such as stocks.\u00a0<\/p>\n<p><strong><em>Related:\u00a0<\/em><\/strong><strong><em>Bitcoin likely to transition to a risk-off asset in H2 2022, says Bloomberg analyst<\/em><\/strong><\/p>\n<p>But despite Bloomberg&#8217;s bullish take, other experts believe that Bitcoin and equity markets have actually become more correlated than before. <\/p>\n<p>Cointelegraph contributor Micha\u00ebl van de Poppe recently said the correlation between the S&amp;P 500 index and BTC was approaching 100%, while a number of IMF economists claimed to have seen a 10-fold increase in correlation between crypto and equity markets in some regions of the world.<\/p>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><br \/>\n<br \/><script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"bitcoin\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<br \/><a href=\"https:\/\/cointelegraph.com\/news\/bitcoin-is-a-wild-card-set-to-outperform-says-bloomberg-analyst\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Bloomberg analyst Mike McGlone has labeled Bitcoin (BTC) a \u201cwild card\u201d which is \u201cripe\u201d to outperform once traditional stocks finally bottom out.\u00a0 In a Sept.7 post on Linkedin and Twitter, McGlone explained that while the United States (U.S.) Federal Reserve tightening will likely determine the direction of the stock market, Bitcoin remains a \u201cwildcard\u201d that [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":6984,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_wp_rev_ctl_limit":""},"categories":[2],"tags":[],"class_list":["post-6983","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-bitcoin-news"],"_links":{"self":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/6983","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=6983"}],"version-history":[{"count":1,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/6983\/revisions"}],"predecessor-version":[{"id":6985,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/6983\/revisions\/6985"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/media\/6984"}],"wp:attachment":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=6983"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=6983"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=6983"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}