Bitcoin's (BTC) meteoric rising above $50,000 this week is likely to continue well into the fourth quarter, as the psychological resistance flips to support during the side by side leg of the bull marketplace, according to Bloomberg'southward senior commodity strategist Mike McGlone.

On Tuesday, McGlone circulated the Oct 2022 edition of the Bloomberg Milky way Crypto Index, which provided an overview of where digital assets could be headed for the residual of the year. In the written report, McGlone speculated that Bitcoin's $l,000 resistance — a level that has proven impenetrable since the May dump — was near to flip back up.

"Bitcoin's $50,000 resistance point since May appears ripe to get the crypto's support value in 4Q," he wrote, adding:

"We view the $40,000 marking as similar to the crypto'due south $10,000 launchpad from 4Q20. Parallels are visible from about 4x college. The 2022 average price is $44,500, and adoption and need are on the ascent vs. diminishing supply."

Related: Bitcoin beats stocks, commodities to become best-performing nugget of 2022

The BTC price surged toward $55,000 on Wednesday, as a confluence of technical, central and sentiment factors pushed the cryptocurrency to multi-calendar month highs. Equally Cointelegraph reported, Bitcoin is increasingly decoupling from the broader macro-surround. A instance in point is that Bitcoin'due south ix% rise on Wednesday came as the Dow Jones plunged over 200 points and the The states dollar rose 0.four% confronting a basket of competing currencies.

McGlone'southward report indicated that Bitcoin remains at a discount when compared with traditional stock marketplace indexes like the Nasdaq. "Rising equities should keep high-beta Bitcoin buoyant, simply if the stock market place drops, more than stimulus will solidify underpinnings for the digital reserve asset," he explained.

The report also had positive things to say about Ether (ETH) amidst the widespread adoption of decentralized exchanges and nonfungible tokens (NFTs). Regarding the Ether toll, McGlone has set a target of $5,000, arguing that the path of to the lowest degree resistance is college.