If there's an increase in the value of Bitcoin, the Federal Reserve could potentially respond, as suggested by Mike McGlone.

In a recent development, Michael Saylor's company, Strategy, has announced another substantial Bitcoin acquisition, boosting their total Bitcoin holdings to 629,376 BTC. This latest purchase, worth approximately $51.4 million in fiat, brings the current market value of Strategy's Bitcoin holdings to over $70 billion.

The acquisition has caught the attention of Mike McGlone, senior commodity strategist at Bitcoin Intelligence. McGlone believes that this continued rise in Bitcoin, along with a simultaneous rise in equities, Treasury bond yields, and gold, could indicate something that the Federal Reserve would not like.

McGlone suggests that this continued ascent of these risk assets, including Bitcoin, could lead to inflation and Treasury bonds soaring. If this occurs, the Federal Reserve may be prompted to implement monetary tightening instead of easing and raise interest rates, contrary to President Donald Trump's demands this year.

However, the continued record rise in Bitcoin, as predicted by McGlone, could attract significant institutional capital and reinforce Bitcoin's role as a leading digital asset. This might prompt the Federal Reserve to respond cautiously, potentially by monitoring inflationary pressures and financial stability risks associated with increased cryptocurrency adoption.

Bloomberg's commodity expert has labeled the current rise of Bitcoin and gold prices as "unsustainable." The reasons for this labeling are not clear, but it's worth noting that Bitcoin has dropped slightly more than a thousand dollars over the past few hours, trading at $111,980 at press time.

Bitcoin has gone down by 6% since last Friday, falling from a local high of $119,111. Despite this drop, McGlone believes that this rally to be shaky and unstable, expecting volatility post-summer doldrums.

It's unclear what the local high and press time refer to, but it's important to note that this latest Bitcoin acquisition by Strategy could have significant implications for the cryptocurrency market and its future role, especially in light of potential responses from the Federal Reserve.

If there's an increase in the value of Bitcoin, the Federal Reserve could potentially respond, as suggested by Mike McGlone.