Skip to content

Senior commodity strategist says this is a ‘defining moment’ in history to buy Bitcoin

Senior commodity strategist says this is a ‘defining moment’ in history to buy Bitcoin

The narrative that Bitcoin should have increased in value in reaction to Russia’s invasion of Ukraine is one that many in the crypto space anticipated, but the reverse has occurred on February 24, with the market suffering an enormous selloff.

Speaking with Scott Melker, the host of Wolf of all Streets podcast, Bloomberg senior commodity strategist Mike McGlone highlighted that the markets are way overdue for a pretty significant correction, most notably in terms of equities, but this has also been felt in the crypto market as well.

Notably, McGlone thinks that this is a ‘defining moment’ for the digital asset; although there are downside risks, he believes that this is a “very good buying opportunity” for long-term investors who had left funds on the side.

The commodity strategist noted: 

“The key thing to point out here is cryptos and Bitcoin are still risk assets and they’re giving up back a lot of gains. I still think there is more pain there. I don’t think Bitcoin gets much below $30,000 its holding good resistance around $40,000. I think this is ultimately going to be a very good buying opportunity for Bitcoin for longer-term traders. It’s going to be looked back upon in history as a defining moment.”

Gold to exceed $2,000 per ounce

As a result of Russia’s invasion of Ukraine, the price of gold climbed to a 13-month high on February 24. 

Mr. McGlone stated:

“Gold is way overdue for an enduring breakout above $2,000 an ounce, we’ve been calling for this for too long, unfortunately, this is how it works, markets take you down to the mat, make you not believe, and then it breaks out, so it’s way overdue.”

Generally, gold is viewed as a safe-haven asset amid rising geopolitical tensions, and its price has climbed accordingly. With tensions between the two nations continuing to escalate, investments in gold have also increased. Almost $1 trillion was infused into gold in the last 30 days alone.

US Global Investors CEO Frank Holmes believes that gold is the best asset to acquire in the high tension environment. 

“When you look at gold, its breadth and depth of historical significance as a wonderful asset is really showing up when you have war,” he said. 

Crude oil to peak at $100 a barrel

Elsewhere, despite the increasing value of Energy ETFs and oil hitting $100 a barrel, the senior commodity strategist believes that crude oil has probably peaked at around $100 a barrel; he compared the peak in oil prices in 2008 when oil was $145 a barrel.

“The juxtaposition between what’s happening now versus 2008 is shocking. For instance, there’s a property crisis in China and they are now the world’s largest importer of crude oil that was exactly what the U.S was in 2008 and now we’re a net exporter of crude oil.” 

The market analyst sees the beginning of a forthcoming recession and a pretty significant equity market correction in the future.

“I think it’s a great buying opportunity for long bonds, gold, and Bitcoin. It’s just a question of time, you’ve got to get through that.”

At the time of publication, the S&P 500 is down 0.62% on the day, while Bitcoin is down 5.88% in the last 24 hours, currently trading at $36,233, recovering from as low as $34,472 earlier in the day.

Watch the video: Mike McGlone this is a ‘defining moment’ in history to buy Bitcoin

Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.

Best Crypto Exchange for Intermediate Traders and Investors

  • Invest in cryptocurrencies and 3,000+ other assets including stocks and precious metals.

  • 0% commission on stocks - buy in bulk or just a fraction from as little as $10. Other fees apply. For more information, visit etoro.com/trading/fees.

  • Copy top-performing traders in real time, automatically.

  • eToro USA is registered with FINRA for securities trading.

30+ million Users
Securities trading offered by eToro USA Securities, Inc. (“the BD”), member of FINRA and SIPC. Cryptocurrency offered by eToro USA LLC (“the MSB”) (NMLS: 1769299) and is not FDIC or SIPC insured. Investing involves risk, and content is provided for educational purposes only, does not imply a recommendation, and is not a guarantee of future performance. Finbold.com is not an affiliate and may be compensated if you access certain products or services offered by the MSB and/or the BD

Read Next:

Finance Digest

By subscribing you agree with Finbold T&C’s & Privacy Policy

Related posts

Sign Up

or

By submitting my information, I agree to the Privacy Policy and Terms of Service.

Already have an account? Sign In

Disclaimer: The information on this website is for general informational and educational purposes only and does not constitute financial, legal, tax, or investment advice. This site does not make any financial promotions, and all content is strictly informational. By using this site, you agree to our full disclaimer and terms of use. For more information, please read our complete Global Disclaimer.