Mike McGlone, senior macro strategist at Bloomberg Intelligence believes that the Bitcoin network is more secure than ever. McGlone shared on LinkedIn his views on cryptocurrency, focusing on topics such as liquidity, regulatory frameworks and stablecoins.
He mentions that Bitcoin’s hashrate increased by an impressive 25% over the course of the year. This indicates that network participants are now confident at an all time high.
Higher indexes mean that it’s more difficult for anyone to manipulate transactions or control the network. Bitcoin’s hashrate doubled in the bear market of 2022, and it continues to rise. According to the strategist, this is despite direct attacks by US regulators on miners.
McGlone stressed that while regulators and central bankers work to restore trust in the traditional banking system’s financial system, the Bitcoin network’s arsenal of miners and nodes continues to grow organically.
McGlone predicts that Bitcoin will trade as gold or a Treasury bond.
McGlone sees potential vulnerabilities in Bitcoin’s price movements, as it is considered an extremely volatile asset.
McGlone acknowledges that Bitcoin’s price may be affected by the US economy’s liquidity crisis, but he predicts that Bitcoin will eventually trade more like gold and Treasury bonds in the long-term.
McGlone stated that Bitcoin would outperform all risk assets in an interview earlier. The historical value of Bitcoin has been determined by the bank crisis at various junctures.
The 2007-08 financial crisis was the last to see its emergence. This current crisis is now defining it. Although its value may decline in the short-term, it will rebound and become a bullish asset.
Bitcoin traded at $28,000 for the last few days. It was trading at $27.955.73 as of press time