Bloomberg recently published a report about the future of Bitcoin (BTC) and other cryptocurrencies. According to the report, Bitcoin may soon be rising a lot in value, despite the crash earlier this year.
Mainstream adoption of cryptocurrencies
Bloomberg says that the shifting balance of supply and demand will positively influence the price of Bitcoin. The limited supply and the accelerating adoption are catalysts for ‘serious growth”, according to Bloomberg.
"Bitcoin is perhaps uniquely situated for a sustained price rise. The first-born crypto is well on its way to becoming global digital collateral and has revolutionized the digitization of the financial world, which still appears to be in its infancy. What is unique about Bitcoin is the diminishing supply versus the unlimited and rapidly increasing number of crypto assets."
Will Bitcoin see a new all-time high soon?
Bitcoin‘s recent uptick is also a positive signal, according to Bloomberg. The recaptures of $40,000 and even $45,000 don‘t mark a new ceiling. They rather mark a new bottom for Bitcoin. “Traders who have gotten used to the $30,000-$60,000 will soon be unpleasantly surprised,” says Bloomberg.
The current geopolitical situation in eastern Europe and the prospect of the U.S. November elections are also in favor of Bitcoin when compared to other investments, according to Bloomberg.
"Crypto-assets may have much in their favor as the U.S. midterm elections approach, particularly relative to inflation-related commodities. Typical supply and demand elasticity and crude oil prices boosted by the risk of war in Ukraine are strong catalysts to renew the ongoing oil bear market."
Bloomberg seems to have changed its view completely on Bitcoin lately. A couple of years ago, they mostly published negative news on Bitcoin, but America‘s financial giant has taken a 180-degree turn.
While stocks and other investments seem to suffer from the current global developments, Bloomberg expects Bitcoin and the rest of the crypto market to profit from these developments. They even hint at a new all-time high for Bitcoin, saying that the times of a $30,000-$60,000 trading range will be over soon.