Bloomberg Intelligence senior macro strategist Mike McGlone has dramatically reversed his long-term outlook on Bitcoin and the broader cryptocurrency market, declaring that the "Bitcoin trade is over" and advising investors to "sell the rallies" across risk assets in 2026.
In his analysis, McGlone argues that the fundamental conditions that once made Bitcoin a compelling investment have changed. He contends that Bitcoin has transformed from a scarce, disruptive asset into part of a crowded and highly speculative ecosystem. A key shift, according to McGlone, is Bitcoin's increasing correlation with equities, making it vulnerable to the same macroeconomic forces that drive traditional markets and eroding its value as an independent hedge.
McGlone points to several warning signs reminiscent of past market peaks, including excessive speculation, the approval of spot Bitcoin exchange-traded funds (ETFs), and historically low volatility. "Bitcoin has gone from being a hedge against the system to being firmly inside it, and that changes everything," he stated.
This bearish crypto outlook is part of a broader, stark macro forecast. McGlone extends his caution to stocks, commodities, and precious metals. He interprets gold's explosive rally—targeting $5,000 per ounce—not as a sign of strength but as a potential signal of deeper economic instability. He notably remarked that when "the stupid rock" (gold) starts outperforming everything else, investors should pay close attention.
Supporting this narrative of a flight to traditional safe havens, Bitcoin's price action has been volatile and corrective. After reaching over $95,000 earlier in 2026, BTC fell to a multi-week low of $87,200 amid escalating geopolitical tensions between the Trump administration and the EU. It has since struggled to maintain momentum, with a recent breakout attempt halted at $91,200, leading to a quick $2,000 tumble. Bitcoin was last seen whipsawing around the $90,000 level.
The market turmoil has led to significant liquidations, with over $300 million in leveraged positions wrecked in a single day, more than half of which occurred in a volatile four-hour period. Meanwhile, traditional assets are soaring: Gold has surged over 15% year-to-date, hitting a new all-time high near $4,980, while Silver has broken the $100 barrier, up a staggering 42% in just a few weeks.
