Fundstrat chief funding officer Tom Lee says those that flip a blind eye to Bitcoin seemingly imagine that BTC will finally plunge all the best way all the way down to zero.
In an interview on the International Cash Speak YouTube channel, Lee says Bitcoin has confirmed its endurance after over a decade of existence.
He additionally notes that it’s now not possible for Bitcoin to fade, provided that the incoming Trump administration has repeatedly expressed its help for the most important crypto by market cap.
“I feel that it’s most likely higher to only observe a couple of issues. One is Bitcoin has now been round for 15 years, and there has not been a Bitcoin 2.0. So there’s no crypto 2.0, Bitcoin is the surviving chain.
And Bitcoin has change into a $2 trillion asset which by no means in monetary historical past has something reached $2 trillion after which disappeared. It’s a special argument if it was $100 billion.
Third is the US authorities [has] reiterated its dedication to make Bitcoin a strategic reserve asset. That’s not dangerous for the worth of Bitcoin. So if somebody is watching this and stated, ‘Effectively, they don’t perceive Bitcoin in order that they determine to not personal it.’
It’s a catastrophic approach to have a look at markets.”
Lee additionally believes that the macroeconomic backdrop seems to be appearing as a tailwind for threat belongings like shares and crypto, at the least for the primary half of the 12 months. He provides that his bullish stance is supported by jittery market sentiment and the huge amount of money nonetheless ready within the wings.
“There may be most likely room for extra optimistic surprises within the first half as a result of now we have an incoming president that’s very pro-business, most likely probably the most pro-business president in fashionable instances. And with, to date, the cupboard picks that the market may be very proud of. In order that must be offering room for traders to change into optimistic which they name ‘animal spirits.’
And the second tailwind is that the Fed is dovish. And what which means is that the central financial institution is easing. In order that’s optimistic for shares.
The third is traders are cautious as a result of nearly everybody we talked to thinks valuations are costly or as a result of we’ve had two good years, [the next year] must be dangerous. So we all know sentiment is cautious. Often when individuals are cautious, then you definitely wager in opposition to the warning.
And the fourth is that we all know mechanically there’s loads of money on the sidelines. There’s loads of firepower – $7 trillion of money on the sidelines.
So I might see this as optimistic for the primary half of [this] 12 months.”
