Stephanie Douse 
Bitcoin is on the verge of becoming a global collateral Bloomberg analyst Mike McGlone maintained. He has reiterated that Bitcoin’s persistent rise is due to its sustained buoyancy in the face of all the market-moving events.
Bitcoin’s divergent strength in play vs Nasdaq 100
McGlone and Jamie Douglas Coutts, Bloomberg’s senior market structure analyst looked at how Bitcoin is doing on its path to ultimate dominance in the latest Bloomberg Intelligence report.
One indicator of Bitcoin’s rising acceptance is the outperformance of the equities market. The analyst noted that the crypto market has been more stable than Nasdaq 100, the popular stock market index.
Despite its characteristic volatility, Bitcoin appears to be on its way to breaking key resistance at its 50-week moving average, according to analysts. If Bitcoin’s price sustains above $46,300 for the year while the Nasdaq 100 stays down by 8%, it could signal an inflection point for the pioneer cryptocurrency. This would also result in equities being more likely to trade lower and Bitcoin’s buoyancy would outlast it.
Rising inflation and the Fed’s attempt to control it will inadvertently boost Bitcoin’s dominance and divergence from risk assets.
Every day that the Federal Reserve wakes up to rising asset prices, our take is it becomes more concerned about related inflation and inclined to do something about it. Bitcoin is poised to come out ahead of what may be an overdue mean reversion for risk assets, the analysts said.
Bitcoin also wins against commodities.
Analysts believe that Bitcoin has advantages and hence is set to outperform commodities as well. One of the benefits of Bitcoin over other asset classes is its indisputable trading. McGlone had previously highlighted this when called Bitcoin “the most significant, fluent, widely-traded 24/7 asset ever on the planet.”
Bitcoin has never had the kind of drama that commodities have, such as the recent case of the London Metal Exchange (LME) suspending nickel trading and the probe that has followed the exchange.
McGlone and his colleague stated: “Constant price discovery without distortions, limits or central-party control are attributes of blockchain-based assets like Bitcoin, and the money is migrating to where it’s treated best.”