A Bloomberg analyst has said that the price value of the world’s leading digital asset is going to grow due to the fixed supply of Bitcoin and its increasing adoption.
Mike McGlone is an analyst and a senior strategist for Bloomberg intelligence. He has given his point of view that in the year 2020, the price of Bitcoin will increase.
Two factors: Fixed Supply and Increasing Adoption
The senior commodity analyst Mike McGlone believes that there are two factors that will help Bitcoin to increase its value this year. The first factor is the fixed supply of Bitcoin that is 21 million coins and the second factor is the increasing adoption of the coin.
He said that these two factors will support the growth of the world’s leading asset in the year 2020.
Moreover, he pointed out that in terms of adoption rate, Bitcoin is winning the race. As he stated:
Bitcoin is winning the adoption race, notably as a store-of-value in an environment that favors independent quasi-currencies,” said McGlone, adding: “In 2020, Bitcoin supply should increase about 2.5%, an all-time low on the way to zero growth.
Gold Price may favor Bitcoin this year
Bloomberg analyst also brings into attention the factor of Gold prices. He said that the prices of gold are increasing day by day and it is expected that these increasing prices of gold will also favor the world’s leading asset this year. Mike claims that the value of gold will continue to increase in 2020, therefore the price value of Bitcoin should also increase. In his concluding comments, he says:
Bitcoin should again outshine most crypto assets in 2020 as the unique and appreciating digital version of gold.
Mike McGlone also talked about the volatility of Bitcoin and said that it should decrease. According to him, $6k is the key support level of Bitcoin while $10k is the resistance level.