Mike McGlone, the Bloomberg Intelligence senior commodity strategist who was one of the few Wall Street analysts to call Bitcoin at $100,000, now says the cryptocurrency “can easily drop a zero” to $10,000. In an interview with Grace Remington and Sean Hagan, McGlone warns that artificial intelligence risk could force a steep Bitcoin drawdown and lays out why he believes the trade is over.

In McGlone’s view, the ETF launch — the January 2024 debut of U.S. spot Bitcoin funds that opened the asset to ordinary brokerage accounts — signaled that the trade was over. He describes Bitcoin as a “stock puppet” — an asset with high beta and no edge — and that framing underpins his AI warning: because Bitcoin now trades like a high-beta stock, he argues, it would not be insulated from the risks building around AI-driven markets. He adds that a Federal Reserve priced for three rate hikes — market expectations of tighter policy ahead — is a headwind for Bitcoin, gold and copper alike.

The discussion extends from the Middle East energy shock and the midterm elections to the Russia-Ukraine war’s implications for diesel exports and the wheat trade, then to stablecoin policy — including the GENIUS Act, the 2025 U.S. law that created the first federal regulatory framework for payment stablecoins — and tokenization, before closing with McGlone’s case for U.S. Treasuries as his next big trade. For readers tracking the thesis, the markers to watch are the Fed’s rate path, how AI risk plays out in equity markets, and the rollout of stable rules under the GENIUS Act.

The full interview is available on YouTube.

Interview Chapters

• 0:00 — Bloomberg’s Mike McGlone on the Middle East Energy Crisis and a 2027 Oil Glut
• 1:01 — Midterm Elections, Iran and Why Energy Prices Decide the Vote
• 2:12 — Russia-Ukraine, Diesel Exports and the Wheat Trade
• 4:27 — Don’t Fight the Fed: Three Hikes Priced In and Warsh’s Rate Hike
• 6:49 — Bear Market Bounce: Why Bitcoin Can Drop a Zero to $10,000
• 9:54 — Why McGlone Flipped From $100K Bull to Bear After the ETF Launch
• 13:17 — Bitcoin as a Stock Puppet, $40 Trillion of Debt and the Jack Bogle Rule
• 14:44 — The Unlimited Supply Argument: Bitcoin vs. Gold, Stablecoins and Basis
• 18:13 — The GENIUS Act, Tether in Hong Kong and Tokenizing Everything
• 21:18 — Why Treasuries Are the Next Big Trade

Disclaimer

The views and opinions expressed in this show are those of the participants and do not necessarily reflect the official policy or position of BTC Inc., Bitcoin Magazine, or any affiliated entities. This content is provided for informational and educational purposes only and should not be construed as investment, legal, tax, or accounting advice. Nothing contained in this show constitutes a solicitation, recommendation, endorsement, or offer to buy or sell any securities or financial instruments. Viewers should consult their own advisors before making financial or business decisions.

This post first appeared on Bitcoin Magazine and is written by Patrick Green.