Bloomberg analyst says Bitcoin could outperform stocks in 2022
An analyst of Bloomberg did an analysis on Bitcoin vs the stock market and predicted that there are circumstances for Bitcoin to perform much better over the stock market.
As we know, the crypto Market faced huge ups and downs in 2021. Finally, we are in 2022, but the majority of the experts believe that the crypto industry may not give a better performance like in 2021, because there were many reasons in 2021, which acted as a catalyst to boost the inflow of money in the industry.
Now in the latest, a report is published by an analyst of Bloomberg. According to analysts, there are much better situations for Bitcoin than the stock market.
According to analyst, the Federal Reserve will increase the interest rate in January of this year and that will be a better favourable situation for Bitcoin, instead of the stock market.
“win-win scenario for Bitcoin the stock market.”
The further analyst added:
“Stretched markets have become common, but commodities and Bitcoin appear to be early reversion leaders.t’s a question of bull-market duration, and we see the benchmark crypto coming out ahead.”
After the Federal Reserve’s December policy meeting, on Wednesday it came to be known that bankers are now ready to work aggressively on their stimulus support more quickly than previously expected. These rapid plan ideas will bring an increment in the interest rate hike this year and that will happen with the decrease in the funds of the Federal Reserve balance sheet, which is currently valued at $8.3 trillion including Securities values.
As usual, stimulus reduction is commonly known as a negative fact for the assets like crypto and stock but here Bitcoin is unique and it is standing unique at another level.
“Cryptos are tops among the risky and speculative. If risk assets decline, it helps the Fed’s inflation fight. Becoming a global reserve asset, Bitcoin may be a primary beneficiary in that scenario.”
Besides all these things, the Analyst believes that Bitcoin, Ethereum, and stable coins will remain dominantly more stable.
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