‘Good buying opportunity for Bitcoin?’ Analyst Reveals Long-Term Plan You Can Follow

The cryptocurrency market has suffered quite a bit from the recent tensions between Russia and Ukraine. In the midst of this ongoing battle, the crypto market cap lost nearly $200 billion. However, at the time of going to press, the market did bounce back. It increased by 7%. However, there was still uncertainty. In fact, Bitcoin’s old rival, Gold, has made impressive strides.

Defining moment

Bloomberg’s senior commodities strategist Mike McGlone shared his analysis regarding the king’s coin in an interview with Scott Melker, the host of the Wolf of all Streets podcast. He marked that the traditional markets were due for quite a sharp correction. And this has also been felt in the crypto market. After the Russia-Ukraine news, both the stock and crypto markets took a heavy blow on February 24.

Nevertheless, this could be a ‘defining moment’ for digital possession,” McGlone claimed. Despite the risks, he said this dip was a “very good buying opportunity” for long-term investors who had left money aside. Further comment, he noted,

“The important thing to point out here is that cryptos and Bitcoin are still risky assets and they’re giving in a lot of gains. I still think there’s more pain. I don’t think Bitcoin is much below $30,000 and good resistance has around $40,000.

I think this will ultimately be a very good buying opportunity for Bitcoin for longer term traders. It will be looked back on in history as a defining moment.”

However, it is interesting to note that on the back of the Ukrainian conflict, one trump card was a clear winner.

Goal or gold?

Gold rose on the charts, while most other assets lost value. In fact, on February 24, the gold price climbed to its 13-month high.

Source: Bloomberg

Gold was a clear winner here. In fact, it looked prepared to exceed $2,000 an ounce. Gold traded as low as $1,974 on February 25, its highest point since September 2020. Here, McGlone reiterated:

“Gold is way too late for a lasting breakout of over $2,000 an ounce. We’ve been asking for this for too long, unfortunately, this is how it works, markets take you to the mat, don’t make you believe, and then it breaks out, so it is much too late.”

Meanwhile, Tom Essaye, a former Merrill Lynch trader portrayed Gold as a mature asset.

“Gold does exactly what it’s supposed to do at this point, but it’s a much more mature asset and it has a proven history in these kinds of conflicts about how it trades.”

he continues added

“This is the first time Bitcoin has ever encountered a potentially major global conflict, and I would expect the declines to continue as long as stocks are under pressure.”

Interestingly, at the time of writing, Gold was in the top spot in the ‘Assets ranked by market capitalization‘ list. For reference, Bitcoin was at number 9.

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