Bitcoin

The senior<a href="https://finbold.com/guide/what-are-commodities/" rel="noopener noreferrer nofollow"> commodity</a> strategist at Bloomberg <a href="https://finbold.com/commodity-expert-warns-bitcoin-may-be-in-trouble-heres-why/" rel="noopener noreferrer nofollow">Mike McGlone</a> believes that the leading cryptocurrency by market cap, Bitcoin (<a href="https://finbold.com/cryptocurrency/bitcoin/" rel="noopener noreferrer nofollow">BTC</a>), could be in trouble, as its price chart resembles the 1930s stock market’s chart, following the major crisis that took place in <a href="https://finbold.com/guide/the-great-depression/" rel="noopener noreferrer nofollow">1929</a>.<blockquote>— Mike McGlone“One of the best-performing assets in history and a leading indicator — Bitcoin — appears similar to the #stockmarket in 1930.” </blockquote><img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/c44a22c2e1f841669f4ade12682b0c18.PNG" />Source: <a href="https://twitter.com/mikemcglone11/status/1693587773469360228" rel="noopener noreferrer nofollow">Twitter</a>More specifically, McGlone also <a href="https://twitter.com/mikemcglone11/status/1693587773469360228" rel="noopener noreferrer nofollow">makes</a> a comparison to Roger Babson — a well-known statistician and entrepreneur back in the days — who “​​began warning about elevated equity prices” before this idea was brought by Irving Fisher in 1929, who proclaimed a “permanently high plateau” in 1929.McGlone seems to compare himself with Babson, as he points towards the similarities between Bitcoin’s chart from 2012 to 2023, with the <a href="https://finbold.com/stocks/" rel="noopener noreferrer nofollow">stock market</a>’s chart from 1920 to 1931. The senior commodity strategist blames the US Federal Reserve for shaping his bias towards “a stance similar to Babson’s”, in his words.<h2 id="header-0">Bitcoin price analysis</h2>Bitcoin has lost around 62% of its value since 2021’s all-time high of $69,000, being exchanged for as low as $25,900 by press time, as BTC struggles to recover its demand in a moment of uncertainty for the <a href="https://finbold.com/cryptocurrencies" rel="noopener noreferrer nofollow">crypto market</a>, as well as for the macroeconomy.<img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/3294bab14f224871b89d66c9ec1d2e81.jpg" />BTC price chart since 2020. Source: FinboldIf Mike McGlone’s analysis is accurate, the leading <a href="https://finbold.com/category/cryptocurrency-news/" rel="noopener noreferrer nofollow">cryptocurrency</a> could be nearing a major drop that would surprise the vast majority of investors, like what happened in 1930.Most <a href="https://finbold.com/crypto-expert-predicts-one-last-bitcoin-dump-before-giga-pump/" rel="noopener noreferrer nofollow">Bitcoin analysts are expecting BTC’s price to start increasing soon</a>, ahead of the block subsidy halving, which is set to happen in April 2024.Many <a href="https://finbold.com/bitcoin-miners-underwater-as-btc-mining-difficulty-surges/" rel="noopener noreferrer nofollow">Bitcoin miners are already running their businesses ‘underwater’</a>, as their current rewards are not enough to cover the costs for the activity that is responsible for securing the network and distributing new coins.All things considered, the<a href="https://finbold.com/guides/cryptocurrency/" rel="noopener noreferrer nofollow"> digital commodity</a>’s ability to meet the above analyst’s expectations will depend on further developments related to Bitcoin, as well as the general sentiment on the wider<a href="https://finbold.com/guides/cryptocurrency/" rel="noopener noreferrer nofollow"> crypto</a> and macroeconomic landscape.Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.Read more cryptocurrency news on <a href="https://finbold.com/category/cryptocurrency-news/?utm_source&#61;CMC&amp;utm_medium&#61;social&amp;utm_campaign&#61;CMC&amp;utm_content&#61;long" rel="noopener noreferrer nofollow">Finbold.com</a>.

Bitcoin chart resembles the 1930 stock market after Wall Street crash

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