Throughout a latest look on CNBC, Fundstrat’s Tom Lee predicted that the value of Bitcoin may doubtlessly surge to $2.5 million in the long run.
“I believe, at a minimal, it ought to have the identical community worth as gold…However I believe Bitcoin is extra useful than gold. I imply Bitcoin, could possibly be $2 million $3 million long run, I imply even larger.” Lee added.
Lee is satisfied that the main cryptocurrency may cross the $250,000 mark as quickly as this yr.
Extra dovishness on the horizon
In keeping with Lee, Bitcoin is responding to world liquidity, which is presently transferring up.
The federal funds price is presently set at 4.25%-4.50%. As reported by U.Right this moment, it remained unchanged following the most recent FOMC assembly, which happened 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 price cuts are anticipated to happen this yr.
The provision-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, that means there’s much more potential patrons of Bitcoin over the following ten years,” Lee stated.
