Bloomberg Issues Bitcoin Warning – Massive Threat?

Bloomberg is issuing a new Bitcoin warning. Check out the latest reports about what the publication says is a threat to Bitcoin.

Bloomberg Intelligence senior macro strategist Mike McGlone is warning Bitcoin (BTC) traders to avoid fighting the U.S. Federal Reserve.

McGlone said recently that BTC is still facing major headwinds in Q1 of 2023, primarily the Fed and its agenda for taming inflation.

The analyst shows a chart depicting Bitcoin’s correlation with the Federal Funds rate.

“The primary 1Q risk-asset options appear to be either bear-market bounce or bottoming, and a burgeoning leading indicator – Bitcoin – may be rolling over. The benchmark crypto is backing away from resistance as the top headwind remains: ‘Don’t fight the Fed.’”

In a new interview with The Wolf of All Streets podcast host Scott Melker, McGlone addressed the general outlook on the current state of the crypto industry.

He said that more regulation may be coming to the industry soon, and that it may not be a bad thing.

“It’s just classic, classic Warren Buffett – ‘The tide’s gone out, we see who’s not wearing clothes’. There’s still a lot of… There’s so much adult supervision needed in crypto. Yes. I know people complain about regulation. I get it. I’m sorry. But people like Sam Bankman-Fried prove that young people playing video games should not be running corporations and taking your money and giving it away to their parents to buy homes and things.”

Bitcoin (BTC) is printing conflicting signals about when the next bull market will kick off. This is reportedly according to metrics shared by two different crypto analytics firms.

Santiment says that BTC continues to have a high correlation with the S&P 500, which the firm notes “limits the likelihood of an upcoming bull run.”

Messari, on the other hand, noted the fact that Bitcoin moving averages recently materialized into a golden cross.