Bitcoin To Hit $100K, Bloomberg Strategist Forecasts As Crypto Tumbles 8% Over The Weekend

Bitcoin, the number one cryptocurrency based on market capitalization, has seen a dramatic slide since the beginning of the year, and the top coin suffered an 8% slump over the weekend.

While the drop has spooked a section of investors, a Bloomberg senior commodity strategist believes the cryptocurrency is in “transition” and will hit the $100,000 mark in 2022.

After hitting an all-time high of around $68,000 in November 2021, Bitcoin has lost nearly half its value and plummeted to nearly $34,000 Saturday. Multiple analysts have warned that the crypto rout is not over as central banks turn off cash taps and some investors are keen on selling off risk assets, including cryptocurrencies.

Amid this confusion, Bloomberg senior commodity strategist Mike McGlone said that he believes Bitcoin will skirt the ongoing risk-off selling pressure.

The analyst predicted that the number one crypto will stage a comeback and go past the $100,000 mark this year. “I think it [Bitcoin’s price] is building a good base here around $40,000, and I think it's going to take it at that level. It's more likely to accelerate towards $100,000,” McGlone said in a recent interview to Cointelegraph.

The expert's prediction is based on the belief that Bitcoin is experiencing a "unique phase" at the moment. McGlone said the crypto is "transforming from a speculative asset into a store of value" at a fast rate.

This, according to the expert, will distinguish Bitcoin's price from all the other crypto available in the market today.

"Bitcoin is in a unique phase, I think, of transitioning from a risk-on to risk-off global digital store of value, replacing gold and becoming global collateral. So, I think that's going to be happening this year," McGlone said.

This year is anticipated to provide "the biggest hawkish monetary reversals in the past decade," according to Forbes and crypto investors are keen on knowing the answer to one of the biggest questions in this space — is Bitcoin a speculative asset or global collateral.