The post Bitcoin Poised For 20% – 70% Return Against Traditional Assets Says Top Analyst appeared first on Coinpedia Fintech News
Despite Bitcoin’s recent price drop to the $61,000 range and ongoing market ups and downs, there’s still hope. Renowned crypto analyst Willy Woo thinks Bitcoin could do better than both gold and the S&P 500, possibly by 20% to 70%.
Bitcoin’s Potential to Outperform Traditional Assets
Willy Woo, a well-known crypto analyst, has drawn attention to the limitations of the Consumer Price Index (CPI) inflation metric reported by the Federal Reserve. In a recent tweet, Woo highlights that while the Fed focuses on CPI inflation, investors need to consider an extensive measure to truly understand the impact on their investments.
This broader measure includes both CPI and monetary debasement, which Woo estimates to be around 8% on average.
According to Woo, traditional assets like gold can help investors maintain their purchasing power, as gold typically keeps pace with the combined rate of CPI inflation and monetary debasement. However, Woo points out that the S&P 500 offers a better hedge, outperforming the combined rate by about 3%.
Bitcoin’s Promising 20% – 70% Return
The most striking part of Woo’s analysis is his forecast for Bitcoin. Woo suggests that Bitcoin has the potential to outperform both gold and the S&P 500 by 20% to 70%, considering inflation and monetary debasement. This highlights Bitcoin’s potential as a powerful investment vehicle in today’s economy.
As the global economy grapples with these challenges, Bitcoin’s potential to deliver substantial returns makes it an attractive option for those seeking to safeguard and grow their investments.
Bitcoin Price Analysis
With a 6th consecutive day of record net outflow totaling $545 million from U.S. Spot Bitcoin ETFs, showing a shift in digital asset sentiment. The Bitcoin price fell to $61,060, a drop of 6.5% seen in the last 24 hours, and hit its lowest point of the day.
Meanwhile, Derivatives traders faced a setback, with $90.78 million in Bitcoin longs liquidated in 12 hours.
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