Bloomberg analyst: BTC bubble is bursting, could see $10K

Mike McGlone, a senior macro strategist at Bloomberg Intelligence, has warned that the Bitcoin and cryptocurrency markets are collapsing and that Bitcoin's price could return to the $10,000 level. He suggested that a Bitcoin collapse could signal the next recession. McGlone noted that the U.S. stock market capitalization to GDP ratio has reached its highest point in nearly 100 years, while the 180-day volatility for the S&P 500 and Nasdaq 100 indices is at its lowest in eight years. He stated that the cryptocurrency bubble is bursting and this volatility could spread to the stock market. As a risk asset highly dependent on market sensitivity, Bitcoin is likely to experience a sharper decline if the stock market cannot hold its ground, McGlone explained. He concluded that if the U.S. stock market has indeed peaked, the price of Bitcoin could fall to around $10,000.