Bitcoin is considered "untouchable" by senior commodities analyst Michael McGlone, as it is more decentralized than other cryptocurrencies, including ether, despite the ongoing regulatory challenges faced by the cryptocurrency industry. McGlone emphasized this point during a webcast on April 3 with crypto podcaster Scott Melker, stating that bitcoin cannot be eliminated by authorities. He also called those who do not have any exposure to the cryptocurrency market "really foolish." In recent times, US regulators have been particularly strict with the cryptocurrency industry, charging Kraken, a cryptocurrency exchange, for its staking services and suing Paxos, a stablecoin issuer, over Binance USD. Additionally, the agency has proposed new regulations targeted specifically at custodial cryptocurrency exchanges.
Bitcoin Likely to be Impacted by Recession, Predicts Analyst
Despite his optimism towards bitcoin, Michael McGlone believes that if a recession were to occur, the value of BTC, along with other assets, would fall. In January, he warned that challenging macroeconomic circumstances and the pressure of interest-rate hikes could delay bitcoin's expected growth. McGlone states that the OPEC's decision to limit daily oil supply increases the chances of a recession and Federal Reserve's interest rate hikes to tackle inflation. He acknowledges that the Federal Reserve's recent tightening has been helpful in this regard. Therefore, if all assets decline, including bitcoin, McGlone, who is known for his quick analysis, believes that it is possible. Nevertheless, he still maintains a positive outlook for the future.
According to Michael McGlone, it is "really foolish" not to have any exposure to cryptocurrencies or to try and prevent them from advancing. He suggests that if you are a money manager, it is better to take the risk of having at least some of this revolutionary asset in your portfolio. This is especially important because cryptocurrencies are becoming increasingly contentious and avoiding them altogether could make one look foolish in the future. McGlone, who is a senior commodity analyst at Bloomberg, believes that those who are astute will understand that cryptocurrencies are not just a passing fad, but an integral component of the new technological revolution. Therefore, it is essential to embrace and include them in investment strategies rather than resist them.