Expert says bitcoin ETF is good, but not needed for BTC to reach $100,000

Bloomberg Intelligence Commodity Strategist Mike McGlone predicts that the first cryptocurrency could “follow the lead of the Nikkei, which hit a 33-year high in June.” The expert noted that the largest cryptocurrency “had a close relationship with the Nikkei 225 index.”

In his report, McGlone analyzed whether the key Japanese equity index is a “benchmark for bitcoin.”

“We tend to listen to the leading Bitcoin indicators and take into account the downward 100-week moving average. Holding above the $31,000 mark would be a sign of the strength of Bitcoin’s recovery, but there is good reason for the downward pullback to continue — the Fed and most central banks are still tightening their policies,” the strategist shared.

McGlone also believes that the Nikkei is able to track the trajectory of the fall of BTC.

“Japan’s close proximity to China, and our view that the country is like some combination of Ayn Rand’s Atlas Shrugged, Japan, and the Soviet Union over 30 years ago, with deflationary implications, may portend that the Nikkei will follow Bitcoin’s decline,” the expert described.

Earlier, he also explained that the downtrend of the BTC rate from the high of 2021 “may resume.” The expert believes that “$30,000 is the key level of a reversal of a similar similar pattern in the $12,000 region,” which was recorded in the second quarter of 2020.

“The key factor that is different this time is adverse liquidity — most central banks are still tightening measures and increasing rollover risks in the stock market,” McGlone said.

Altana top manager Alistair Milne is confident that the main crypto coin does not need the approval of the US authorities to launch an ETF in order for the price of bitcoin to reach $100,000. The expert expressed the opinion that this topic in the US only distracts market participants who could focus not speculation, but on the adoption of bitcoin.

“Bitcoin ETF is not bad, but we don’t need it to get us to $69,000, and we don’t need it to get us to $100,000,” Milne concluded.