In an interview Tom Lee of Fundstrat says Bitcoin could reach $100,000 by the end of 2021.
Thomas Lee – a managing partner at Fundstrat Global Advisors – believes that bitcoin and the market itself will soar once the delta variant of COVID-19 passes its peak. He expects to see the primary cryptocurrency trading around $100,000 by the end of this year.
Tom Lee of Fundstrat says Bitcoin could reach $100,000 by the end of 2021
In a interview Recently to CNBC, American investor Tom Lee opined that not just bitcoin but the entire financial sector would recover and reach new heights when coronavirus infections start to decline.
Fundstrat’s founder went even further, predicting that the core digital asset would reach a price of $100,000 by the end of 2021:
“One hundred thousand at the end of the year is pretty reasonable.”
COVID-19’s decline would lead to BTC rally
According to the Institute for Health Metrics and Evaluation (IHME), COVID-19 cases in the US will peak this week, meaning they will soon begin to decline. In addition, the health research center does not expect a new wave of cases in September or October:
“As the hysteria around the continued rise in delta variant infection continues to mount, the Institute for Health Metrics (IHME, meteorologists used by global policymakers) predicts that US COVID-19 infections will peak this week. What’s also interesting is that the IHME isn’t predicting a sudden rise or fall. ”
With that said, Lee said that in the coming months, the panic surrounding coronavirus infections among the population would significantly diminish, leading to a new economic boom.
He also argued that the industry would be in an atmosphere of “risk” later this year, which could also boost several market assets, including bitcoin.
Tom Lee’s previous predictions
Fundstrat’s managing partner appears to have a rigid view on the future price of bitcoin, as last year he predicted the asset would trade at $120,000 by the end of 2021. At that time, he opined that the current year it would be very similar to 2017:
“I think 2021 will be a lot like 2017, which means bitcoin will perform even better in 2021 than in 2020. So something above 300%.”
At the time I said that, cryptocurrency was around $29,000, meaning that an additional 300% increase would result in the $120,000 mentioned above.
According to Lee, however, bitcoin and the crypto market need to overcome their volatility and stop fluctuating strongly after comments from prominent individuals like Elon Musk.
“It’s just a personal observation, but the fact that cryptocurrency and bitcoin prices respond to the actions of a company or individual shows that this market still needs to evolve even further,” he said.