Throughout a latest look on CNBC, Fundstrat’s Tom Lee predicted that the value of Bitcoin might probably surge to $2.5 million in the long run.
“I feel, at a minimal, it ought to have the identical community worth as gold…However I feel Bitcoin is extra useful than gold. I imply Bitcoin, may very well be $2 million $3 million long run, I imply even greater.” Lee added.
Lee is satisfied that the main cryptocurrency might cross the $250,000 mark as quickly as this yr.
Extra dovishness on the horizon
Based on Lee, Bitcoin is responding to world liquidity, which is presently transferring up.
The federal funds charge is presently set at 4.25%-4.50%. As reported by U.As we speak, it remained unchanged following the newest FOMC assembly, which came about in June.
Nonetheless, as famous by Lee, buyers consider that the U.S. Federal Reserve will undertake a extra dovish stance sooner or later. Two charge cuts are anticipated to happen this yr.
The availability-demand imbalance
Citing Bitwise’s analysis, Lee additionally identified that 95% of all present Bitcoins have already been mined, however solely roughly 5% of the worldwide inhabitants truly has publicity to the main cryptocurrency.
“So, I simply suppose that there is nonetheless an enormous demand versus provide imbalance, which means there’s much more potential patrons of Bitcoin over the subsequent ten years,” Lee mentioned.
