Bitcoin And Ethereum Are Outperforming Most Assets

Bloomberg Analysts said, “While the war has increased the value of Bitcoin as a global digital reserve, Ethereum has become the collateral of the internet.”

Bitcoin and Ethereum are outperforming most assets despite the Fed stopping the flow of money and raising interest rates. Analysts Mike McGlone and Jamie Douglas Coutts argue that ETH may be undervalued ahead of the long-awaited merger between the Proof-of-Work and Proof-of-Stake blockchains, adding: “The war has increased the value of Bitcoin as a global digital reserve, while Ethereum has become the collateral of the internet.” Bloomberg Intelligence once again pointed out that BTC lacks supply elasticity, reiterating its claim that a $100,000 price tag is only a matter of time until "demand and adoption trends reverse." While tens of thousands of people are expected to attend Bitcoin 2022 in Miami this week, with major adoption announcements expected from major brands, there is no sign that the momentum is slowing. McGlone and Coutts noted that gold has performed poorly since the war began. Bloomberg Intelligence points to a cash flow model that suggests ETH should be worth $6,100, up 70% from current levels. Pointing to how stakers will generate revenue from the network and ETH's continuing path as a deflationary asset, they wrote: The merger, which will transform the Ethereum network from a Proof-of-Work model to a Proof-of-Stake, will transform Ethereum into a stock-like asset with elegant supply/demand dynamics.”