Many people know Bloomberg strategist Mike McGlone as an ardent supporter of bitcoin. Over the past few years, he has repeatedly made aggressive predictions about the cryptocurrency's future prospects.
Now the same analyst has suddenly become less optimistic. Whereas he previously predicted that BTC could reach $100,000 in 2022, now McGlone doesn't rule out barriers in this direction.
The Bloomberg strategist expressed fears over the U.S. Federal Reserve's willingness to raise the discount rate. And the first increase is possible already in March.
Risky assets will become less attractive tool for investors because of Fed's tightening the monetary course. Accordingly, the cryptosphere, which is heavily dependent on the shares of IT-companies, will suffer.
However, McGlone is generally calm and believes that the Fed's rate hike will weaken the stock market's influence, which will have a positive effect on the attractiveness of alternative instruments and bitcoin, in particular.
We'll see how things develop further, McGlone stressed.
Bitcoin may suffer, but less than stock indicators, the analyst predicted.
