Bitcoin (BTC) Price Prediction: $40,000 in Few Months, Expects Tom Lee
The Fundstrat Global Advisors co-founder Tom Lee is extremely bullish on Bitcoin, seeing the price rise on increasing hype.
Bitcoin (BTC) will extend the bull market in 2019 and reach as high as $40,000, expects Tom Lee of Fundstrat Global Advisors, reported Bloomberg. The extreme bullish prediction arrives at a time when BTC is back to growing by hundreds of dollars within a day, and fights for a positive move in June, to trigger further gains in the summer.
BTC is unpredictable, and some scenarios include more dips of as much as 30%. Still, the conditions for BTC appreciation are improving. In July, the Bakkt exchange is expected to start test-trading BTC futures. Asian trading is on the increase and stablecoins so far successfully overcome constraints to fiat trading.
Lee bases his predictions on “FOMO”, or new investors jumping on board as they see BTC price move upward. In the past, Lee had earlier predicted a price of $25,000 by the end of 2018 - but that prediction was majorly off the mark since BTC reached lows around $3,200 last December.
“I think bitcoin is easily going to take out its all-time highs,” said Lee for CNBC’s Future Now. “We’re deep into a bull market, and people are pretty silent about it.”
Lee’s statements reveal that the BTC markets in 2019 may be gaining, as much as 146% from January’s lows, but the mood is more tentative and the expected FOMO has not shown its complete effects. Lee believes the crypto community is still not ready to admit that the “crypto winter” is over, despite the price appreciation in the first six months of 2019.
Lee is also optimistic about Facebook’s announcement on launching Libra, a blockchain-based payment mechanism.
“The Facebook announcement is a complete validation that mainstream is now focused on cryptocurrencies,” Lee said.
Lee envisions the new coin as boosting the case for Bitcoin as an alternative payment system based on a distributed ledger.
BTC traded at $9,046.41 as of 8:40 UTC on Wednesday, on slightly lower volumes of $14 billion’s equivalent. The BTC rally over the weekend has not been wiped out, though fast sell-offs have happened recently with some regularity.
Neither the author nor the publication assumes any responsibility or liability for any investments, profits, or losses made as a result of this information. Cryptocurrency trading and investing are risky propositions, and market participants are advised to always conduct thorough research.