Bloomberg Intelligence’s senior commodity strategist Mike McGlone says crypto may have one big advantage over the stock market.
The closely followed strategist compares the S&P 500 to the MVIS CryptoCompare Digital Assets index which tracks the performance of the 10 largest and most liquid digital assets. According to McGlone, the ability of digital assets to shake out excess leverage from the system with sudden plunges and rebounds is one advantage crypto has over the equities market.
“It’s almost guaranteed that the Federal Reserve will expand easing the next time the stock market wobbles, if past patterns hold, which should solidify underpinnings for Bitcoin. A cleansing of speculative excesses in 1H (1 hour) may be an advantage crypto assets have over the S&P 500.”