- Bloomberg expects the price of Bitcoin to return to $20k this year
- The price of Bitcoin will appreciate despite the performance of stock market – Bloomberg
- Bitcoin is benefiting from the current global pandemic
Bitcoin News Today – Since its emergence, Bitcoin has had many enemies, including Goldman Sachs. However, those that are bullish on the digital currency are much more, and they have contributed to the success of the digital currency until now. Recently, Bloomberg took the opposite site of Goldman Sachs and released a very bullish Bitcoin price prediction.
Bloomberg Said Bitcoin’s Price Would Double to $20k This Year
Bloomberg said that the price of Bitcoin (BTC) could double to $20k before this year runs out. In a post, Bloomberg said:
“The most popular digital currency has so many favorable fundamental and technical factors that something needs to really go wrong for the price of Bitcoin to not appreciate.”
Bitcoin (BTC) Price Today – BTC / USD
According to the firm, history showed that BTC should return to $20k this year, which is an increase of about 100 percent from its current price. Bloomberg said:
“Bitcoin will head towards the record high of about $20k this year in our view if it follows the trend of 2016.”
The research note also said that the maturation of Bitcoin, which is driven by the ability to trade BTC futures, the growing acceptance of cryptocurrencies, and a gradual decline in volatility, should keep it skewed towards price appreciation.
Bloomberg Expects BTC to Appreciate Regardless of the Performance of the Stock Market
Bloomberg further added that it expects the world’s most dominant digital currency to appreciate if the stock market rolls over. From the recent price action of Bitcoin, it appears that the digital currency has strongly held the $8k mark as support. The digital currency could post massive gains if it is able to break over the major $10k hurdle point.
For several reasons, Bloomberg believes Bitcoin is greatly benefiting from the global pandemic caused by the COVID-19. The firm pointed out that historic plunge in equity markets due to the coronavirus did not affect Bitcoin, as the digital currency corrected lower and recovered shortly after.
The firm also pointed out that the pandemic is hastening the shift away from fiat currency towards digital currency. The third reason is the new quantitative-easing policies from central banks all over the world are helping independent stores-of-value like Bitcoin (BTC) and gold.
The Bullish Views of Bloomberg Does Not Apply to Other Digital Currencies
The bullish views of Bloomberg on Bitcoin does not seem to apply to other digital currencies such as Ethereum. In a post, Bloomberg said:
“We see a little uptrend in the price of Ethereum absent a rising tide from Bitcoin.”
The firm added that Bitcoin (BTC) is breaking away from other crypto assets in terms of adoption and it is now supported by almost ideal-macroeconomic conditions for stores-of-value amid quantitative easing.