Fundstrat Still Firm on its Outlook for Bitcoin to Reach $25,000 in 2018May 25, 2018 at 18:48
Despite the ongoing decline on the value of Bitcoin, Fundstrat Global co-founder, Thomas Lee is still firm on his outlook that the flagship cryptocurrency’s price will reach as much as $25,000 by year-end.
In an interview by CNBC, he noted that the market drop is only an indication that “Bitcoin is underappreciated.”
Lee reiterated his top-10 day theory, which indicates historically that all of bitcoin’s annual gains are achieved on the best 10 trading days of the year, explaining that “Bitcoin doesn’t have to go up in a diagonal line.”
“The notion of blockchain as a way to solve trust in the digital world has gained a lot of traction, especially out of consensus. And what investors aren’t connecting is that you can’t necessarily just say ‘I believe in the blockchain.’ Bitcoin and cryptocurrencies are essential to how blockchains operate in the security,” the official further stated.
However, he also acknowledged that Bitcoin could be a “scary trade” for investors, especially since the world’s biggest cryptocurrency’s value decline to more than half from its highest peak in December 2017.
“Institutional investors have gained a lot of interest and they haven’t really come into crypto yet because there’s still some regulatory uncertainty. But that ultimate allocation into crypto as an asset class is going to be a powerful reason why bitcoin rallies,” he noted.
As of this writing, trading activities in the cryptocurrency is slow which is producing insignificant price movements in the market. Bitcoin is now valued at $7,426.63 while Ethereum is at $590.25.
Altcoins such as Ripple, Bitcoin Cash and EOS are at $0.6121, $1,009.9 and $12.01, respectively.