Bitcoin (CRYPTO: BTC) rallied as high as $73,000 amid traffic in the Strait of Hormuz clogging up, but Bloomberg Intelligence commodity strategist Mike McGlone warned oil volatility will spill into stocks and crush crypto, calling Bitcoin a “bear market” asset heading lower.
The Oil Volatility Threat
McGlone explained on Thursday that Bitcoin’s price performance remains closely tied to volatility in U.S. equities, particularly the Nasdaq, which must remain near historically low volatility levels for risk assets to rally.
“The bottom line for these highly volatile risk assets to go up is Nasdaq volatility,” McGlone said. “If volatility from commodities and crude oil trickles over into the stock market, that’s bad for crypto.”
The Strait of Hormuz closure briefly pushed Brent crude above $85, making a new high above last year’s level.
However, McGlone views this as a classic peak signal. The December …