Senior commodity strategist of Bloomberg Intelligence, Mike McGlone, believes that the annual average rates of gold and Bitcoin are heading toward a massive rise next year.
In 2021, McGlone expects gold to hit $2,000 and Bitcoin to recover the 2017 ATH of $20,000.
In his recent tweet, he stated that the current bull market is looking to be strengthened by improving fundamentals and technical underpinnings.
Earlier this year, McGlone also voiced predictions about both Bitcoin hitting $13,000 and Bitcoin's volatility continuing to decline.
Bitcoin broke above the $13,000 level on Oct. 22, before it continued the ascent and reached $15,863 on Nov. 6.
The current Bitcoin rally is believed to be driven by a massive inflow of institutional funds into the Bitcoin market—from giants like Grayscale and Square to funds coming from private companies that are eager to acquire Bitcoin as a reserve currency.
Earlier today, trader Willy Woo tweeted that Bitcoin is being absorbed by "new smart money," i.e., high net worth individuals in Woo's definition.
Besides, JP Morgan has announced that institutional players at the moment are more eager to allocate funds into Bitcoin rather than gold. To top it all off, renowned Bitcoin hater Nouriel Roubini has shocked the community by taking a step toward supporting Bitcoin.
In an interview he stated that, although for him Bitcoin is still not a currency, it may be used as a partial store of value due to its fixed supply. Unlike USD, the supply of Bitcoin can never be extended.
Dan Burgin
Vladislav Sopov
U.Today Editorial Team