Mike McGlone, business analyst at Bloomberg Intelligencehas announced the ‘100-year pump-and-dump’ mark for US stocks and Bitcoin (BTC).
In June 10 analysis shared on X, McGlone said that the stock market could end 2026 lower than expected despite many years of high gains, pointing to the decline in US inflation and widening of the gap between major financial groups.
According to his analysis, the ratio of the total investment of the US market to GDP has recently reached about 2.5 times, almost 100 years. Similarly, he pointed out that the S&P 500 Total Return Index has recorded only two years since the establishment of Bitcoin, confirming the persistence of cattle market.
“The seemingly improbable idea that the US stock market could end 2026 in the red could represent an absolute pump-and-dump risk for all markets.” My graphs show that the S&P 500 Total Return Index has posted only two years since Bitcoin was launched in 2009 and shows the charts between the Bitcoin-to-market ratio and the US stock-GDP. McGlone wrote.
‘Bitcoin may lose the competition’
The main ratio of the total income of the US market to GDP, McGlone continued, is followed by the crocodile jaws of the fall of the ratio of Bitcoin and gold and the increase of money, which, in his opinion, now seems unstable.
“At 2.5x on June 10, a small change from almost 100 years could be profound. The crocodile trend of the Bitcoin-gold ratio along with the increase in equity seems unsustainable,” he added.
However, he pointed out that such long-term resilience led to a return to the old traditions. The expert said that one possible outcome would be the recovery of cryptocurrencies that would bring them back into line with the stock market. Another possibility, however, is that Bitcoin will face further pressure from growing competition in this sector and eventually succumb.
“The best case may be a recovery in crypto, following the history of stock markets. Alternatively, Bitcoin may succumb to the unknown competition of crypto. It is the risk of slow stability in stocks that means that the return of Bitcoin may be indicative,” concluded the commodity guru.
Ultimately, while McGlone didn’t predict an actual crash, he warned that one of the longest and strongest markets in recent years could face more headwinds if the countdown resumes. Therefore, changes in US stock prices can have a significant impact on both traditional and digital markets.
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