Before 2019 comes, bitcoin might rise in price to the margin of $20,000, said the main Wall Street strategist who issues BTC price trades Tom Lee. According to his viewpoint, that’s not the limit, and the coin may still soar to $25,000.
Interestingly, in early 2018 Lee was more bullish about the most valuable cyber currency in the world, saying that it could have grown to $50,000 by the end of the year.
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Tom Lee Stands By $25,000 Forecast
As per CNBC report, on July 5 Fundstrat Global Advisors co-constitutor Tom Lee firstly predicted that by the end of 2018 bitcoin’s price would reach the rate of $20,000. That is 20% less than his previous $25,000 goal. Later on the same day, he made himself clearer by saying that he might have misspoken and said he still believed the “Big Daddy” could reach $25,000.
At first, the co-founder of the New-York equity research provider said on one of the programmes that "bitcoin has historically traded at 2.5 times its mining costs."
Also, Lee added:
"The reason bitcoin looks really good here is the cost of mining around $7,000 fully loaded. And the difficulty is rising. So by the end of the year, it's going to be $9,000."
As it is known, the producers of virtual money, named miners, use the power of potent computers to do a set of complicated calculations to get a cyber-coin. For that, a lot of energy is used, so lots of crypto-opponents believe it is not an environmentally friendly project. Also, it is noted that there are going to be generated only 21 million BTC units in general, and 80% out of them have already been mined.
With time, Lee said on CNBC that BTC units generating expenditure estimates "imply fair value over $20,000, roughly $22,000.”
Finally, Thomas Lee concluded:
“We still think bitcoin can reach $25,000 by the end of the year or something like that.”
The expert in the niche of cyber-assets also highlighted that investors should not argue objections over some thousand dollars. The reason is that, according to his words, any return which is over $20,000 would be nearly 200% higher than what the "Big Daddy" is traded at tight now – $6,600 on July 6.
It is noteworthy that Lee considers both bitcoin and blockchain revolutionary projects. By the way, between 2007 and 2014 the Fundstrat’s co-founder used to be a chief equity strategist J.P. Morgan.
"I did wireless [research] in the 1990s. I saw 20 years of mobile and internet convergence," said Lee.
He said that this wasn't very different for him regarding how the industry has transformed in the span of time.
In a conversation with CNBC journalist on January 9, after BCT endured the first wave of the correction to $14,365 a day earlier, the Wall Street’s most known BTC supporter Lee predicted the coin to grow over $20,000 already in the first part of 2018. On the same day, he said bitcoin could easily double reaching the limit of $50,000.
Interestingly, BitMEX’s CEO Arthur Hayes appears to be Lee’s like-minded person as he has recently also said bitcoin would get as high as to $50,000 in this year December.
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