In a recent interview in Taipei, Thomas Lee, the head of research at Fundstrat global Advisors still believes Bitcoin will hit $25,000 by the end of the year.
Lee’s optimism on bitcoin still remains despite the massive sell-off that has been witnessed in the crypto market this year which has led to all cryptocurrencies to lose value. His prediction means Bitcoin will have to gain over 270% from the current level if its to achieve this mark.
Lee is one of the biggest Wall Street bulls and he first made the $25,000 prediction last year in September with BTC trading at $3,300. At the time he argued that as more people accepted Bitcoin as a store of value its price would rise drastically.
In December 2017 his prediction almost came true when BTC soared to almost $20,000 with the price surge driven by more people becoming interested in Bitcoin and other cryptocurrencies.
However, the same period also saw regulators get alarmed by the volatility of virtual currencies and the rise of scam tokens. Scam projects were defrauding investors millions of dollars and this made regulators feel the need to step in and set some ground rules.
Since the beginning of the year, the crypto market has suffered and lost a substantial amount of its value. Uncertainty on regulation, crypto bans in some countries, hacks on major exchanges and recent allegations of inside manipulation of prices has seen many investors lose interest in these virtual assets which has resulted in mass sell-offs.
However, since Lee’s prediction is based on Bitcoins’s historical trading pattern which has always been 2.5 times the mining cost, it’s easy to see how this $25,000 prediction can easily be achieved with the mining cost set to hit $9,000 by the end of the year.
Now that Thomas Lee still believes Bitcoin will hit $25,000 by the end of the year, do you believe this is possible? Share your thoughts in the comment section below