Fundstrat Exec Sees Bitcoin Comfortably Trading Above $100K This Year
Tom Lee, Head of Research at Fundstrat, expresses confidence in Bitcoin comfortably surpassing the $100,000 mark by 2024 ending.
Lee issued the forecast during his appearance on CNBC while providing his optimistic outlook for the world’s largest cryptocurrency. The Fundstrat executive suggests that Bitcoin would comfortably trade above $100,000 by the end of the year.
This prediction caught the attention of several crypto executives, including MicroStrategy Executive Chairman Michael Saylor.
At the time of his forecast, Bitcoin was trading at around $90,500, indicating that the industry firstborn must surge 10.49% to reach the $100,000 target.
In February, Lee set his end-of-year target for Bitcoin at $150,000, driven by factors such as Bitcoin ETFs, halving, and interest rate reduction. However, he has reduced it by 33.33% to $100,000.
Bitcoin Performance Aligns with Post-Halving Expectations
In addition, Lee emphasized that Bitcoin’s current market conditions align with how the asset should perform post-halving.
Historically, BTC usually experiences significant growth after the Bitcoin Halving event, which reduced miners’ rewards and BTC inflation rate, contributing to a price increase. Bitcoin’s latest surge to the $90,000 mark comes seven months after the latest halving event.
Other Bullish Outlook
Furthermore, Lee predicted that Bitcoin would perform well over the next 12 months. In addition, the Fundstrat executive highlighted Bitcoin’s potential, particularly under the Donald Trump-led administration.
According to him, Bitcoin is an essential focus of the next administration’s economic considerations, which could include utilizing it as a reserve asset. Lee noted that this move would address some inherent issues within the current financial system.
Meanwhile, investors are expecting cryptocurrencies, including Bitcoin, to thrive under the next administration due to Trump’s remarkable promises for the sector.
Trump said his administration would ensure that the U.S. has a national Bitcoin stockpile, allowing the country to hold BTC as a reserve asset. This aligns with the draft Bitcoin Act bill by Senator Cynthia Lummis (R-WY).
The bill proposes that America acquire 5% of Bitcoin’s supply over the next five years. Following the acquisition, the bill recommends that the U.S. government hold the asset for at least 20 years.
The proposal has boosted investors’ confidence in Bitcoin, with several companies issuing favorable forecasts for the asset.
Yesterday, Bernstein projected that Bitcoin would surge to $200,000 by next year, potentially driven by Donald Trump’s pro-crypto promises, the U.S. national Bitcoin reserve proposal, and growing institutional demand.
