Bitcoin fell from $59,000 to $57,000, reflecting the recent weakness of the cryptocurrency market. Mike McGlone, a senior commodity analyst at Bloomberg Intelligence, pointed out that the ratio of Bitcoin's market value to the total S&P 500 is 11 times, but it reached 15 times in the first quarter of 2020. He is bearish on Bitcoin in the short term. The current ratio is still low, indicating that investors are more pessimistic about Bitcoin.

Mike McGlone said that this ratio shows the weakness of the Bitcoin market, adding that Bitcoin is experiencing a retracement phase after the issuance of a spot ETF, but this may also indicate that Bitcoin is undervalued relative to cyclical trends. It is worth noting that the 15-fold peak in 2020 was when the Bitcoin spot ETF had not yet been issued. After the issuance in 2024, the market value of Bitcoin should be higher, and Bitcoin has also experienced a halving.

Assuming the market capitalization ratio rises back to 15 in the future, based on the current market capitalization of the S&P 500, this indicator could indicate a Bitcoin price target of $81,000. Blockstream CEO Adam Back recently set a Bitcoin price target of $80,000 based on hedge fund analysts’ forecasts for MicroStrategy stock, indicating that Bitcoin still has room to rise in the long term.