13.5 C
Manchester
October 4, 2022
Image default
Bitcoin

Bitcoin could quadruple in 2021, says Tom Lee of Fundstrat

With Bitcoin now positioned above $ 30,000, many analysts expect an even higher rise. One expert expects the dominant cryptocurrency to rise to $ 100,000 this year.

In an interview with CNBC , Tom Lee, managing partner and head of research at Fundstrat Global Advisors, said that the price of Bitcoin could quadruple this year. This means that as of the current price of $ 33,000, Lee is forecasting a future value of $ 132,000.

Lee said the forecast is based on the price setting observed in 2016 and 2017. In 2016, Bitcoin experienced the third reduction, a technical event that cut the supply of daily Bitcoin issuance in half. The cryptocurrency approached $ 20,000 in December 2017.

Likewise, as Bitcoin fell for the fourth time in May 2020, a bullish parabolic race is expected to happen in 2021.

New $ 40,000 #bitcoin target price

– established by our leading digital strategist @David_Grid

– 2020 = 2016 -> half
– 2021 = 2017 -> parabolic rise

According to David Grider, digital assets strategist at Fundstrat, the conditions are in place for a sustained recovery. noted Grider:

Institutional and corporate purchases, reduction of regulatory risk and demand to stimulate retail are factors that led to an increase in positive momentum, which we believe can continue

Bitcoin was briefly above $ 34,000 before closing on Sunday at $ 33,080, its new record after a notable recovery that started when Bitcoin fell to less than $ 4,000 in March last year. In 2020, several institutional investors, such as MassMutual, and public companies, such as Square and MicroStrategy, openly said that they had put a portion of their funds in Bitcoin.

Square’s $ 50 million investment in Bitcoin, made last October, was worth $ 100 million on Saturday.

Lee warned that a correction in the stock market could mean harm to Bitcoin. Since Bitcoin is like a “risk on the asset”, the best time for Bitcoin is always when S&P performs well. “So I think if there is a correction in the shares, Bitcoin will fall,” said Lee.

Related posts

MicroStrategy is selling corporate bonds to buy Bitcoin

Anupreet Kaur

ESPN Global Creates Crypto Payments Gaming Platform |

Aparnna Hajirnis

MicroStrategy buys 271 more Bitcoin for $ 55,387

Anupreet Kaur

Leave a Comment