Ethereum Spikes To Record High, Thiel Says "Just Buy Bitcoin"

Cryptos just took a modest spill this morning as the USDollar popped but the overall picture overnight appears to be one of rotation.

“A supercycle is happening in Bitcoin, which appears in early price-discovery days, positioning the cryptocurrency to outperform commodities in 2022,” wrote Bloomberg Intelligence strategist Mike McGlone

Having stolen all the headlines in the last few days, Bitcoin's strength gave way to Ethereum's catch up.

(Click on image to enlarge)

Source: Bloomberg

Ethereum ripped up to $4372 this morning (just shy of the $4379 high from May)...

(Click on image to enlarge)

Source: Bloomberg

And Bitcoin is still hovering around its prior record high...

(Click on image to enlarge)

Source: Bloomberg

Will BITO's open bring a new energy to crypto this morning? One thing of note (as we detailed here) is the massive spread that has been created between October and November bitcoin futures contracts (due to ETF-driven demand)...

(Click on image to enlarge)

This is unsustainable one way or the other and perhaps means some position-trimming for the ETF as it rolls.

The BITO launch, which saw the highest-ever first-day natural volume for an ETF, is “unlikely to trigger a new phase of significantly more fresh capital entering Bitcoin,” JPMorgan strategists said in a note.

Instead, JPMorgan believes that as gold failed to respond to concerns over rising cost pressures in the last couple of weeks, Bitcoin’s renewed role as a better hedge against inflation in the eyes of investors is the main reason for the current bull run. The team highlighted that the shift away from gold ETFs into Bitcoin funds has bee gathering speed since September and “supports a bullish outlook for Bitcoin into year-end.”

Additionally, CoinTelegraph reports that as Bitcoin marked a new all-time high above $67,000, PayPal co-founder and billionaire venture capitalist Peter Thiel said he should have bought more Bitcoin.

1 2
View single page >> |

Disclosure: Copyright ©2009-2021 ZeroHedge.com/ABC Media, LTD; All Rights Reserved. Zero Hedge is intended for Mature Audiences. Familiarize yourself with our legal and use policies ...

more
How did you like this article? Let us know so we can better customize your reading experience.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.