Tom Lee: Bitcoin Will Double Its Current Price
This time, however, Lee seems a little more on the mark. At the time of writing, bitcoin is trading for just over $8,600, a $1,700 increase from where it stood just 12 days ago. Lee comments that 2020 is likely to end the year with bitcoin doubling its present price, and this, for the most part, appears to be his most realistic and down-to-earth prediction yet.
This is saying a lot about someone who has clearly worked to expand bitcoin’s price by leaps and bounds in the past. 2018, for example, saw bitcoin traversing the roughest waters since its initial creation. The currency – which had been trading for as high as $20,000 in December of the previous year – experienced several drops that eventually brought it down to about $3,500 by the time Thanksgiving rang in. The currency ultimately lost more than 70 percent of its value.
Despite spending the previous 11 months in a lowly state, Lee was always quick to push the currency’s price abilities, claiming that it would end the year at $25,000, then $20,000, then finally ending his year-long streak of predictions at $15,000.
Either way, bitcoin did not reach any of those prices by the time 2019 came about, and Lee appeared to admit defeat when he stated that he would cease predicting bitcoin’s price and focus more on technical trends.
But then, in 2019, President Donald Trump tweeted some rather unpleasant verbiage regarding cryptocurrencies. He claimed that bitcoin’s value was based on thin air, and that he didn’t trust a currency that didn’t boast a physical presence. Lee was quick to capitalize on the situation and stated that the world’s number one cryptocurrency by market would end the year at a whopping $40,000.
Again, this prediction failed to materialize, though to be fair, bitcoin did end 2019 over $7,000 – double where it stood during the year’s early months.
Now, Lee is back at it, but the circumstances are a little different. This time, bitcoin is living up to its bullish reputation, and with Lee scaling back a bit on his “lavish numbers,” it appears like his present prediction may have some merit. If bitcoin doubles in price by the end of the year, as Lee is claiming it will do, the currency is likely to strike the $17,000 mark. This not only seems doable; it’s been accomplished before.
Make Way for the Halving
Lee also put out a recent tweet that accounts for the upcoming halving. It reads:
Bottom line: financial markets tend to discount one to three months and maybe six months max. So, highest probability is halving not priced in.