Bitcoin Keeps a Healthy Entry Point for Investment, as per Tom Lee at $90,000
Tom Lee, co-founder of Fundstrat Global Advisors, has reiterated his belief that Bitcoin could reach a staggering $250,000 by the end of 2025. This prediction is based on Bitcoin's current undervaluation relative to gold, with the digital currency only representing about 25% of gold’s market capitalization at this price point. Lee believes that growing institutional demand, pro-crypto policies, and Bitcoin’s increasing perception as a macro asset similar to gold will drive this rally[1][4].
Lee's long-term outlook is even more bullish, with the co-founder of Fundstrat envisioning Bitcoin eventually reaching $1 million in value. He attributes this projection to factors such as Bitcoin’s limited supply (capped at 21 million coins) and potential institutional buying programs like the Bitcoin Act, which could limit supply availability and push prices higher. Lee regards Bitcoin as digital gold and a trusted financial asset in the long term[3][4].
In the short term, Lee advises investors to view Bitcoin with a long-term perspective and emphasizes that he doesn't think anyone will lose money buying now at $90,000. The current price of Bitcoin is around $95,500, with a market capitalization of $1.89 trillion[2].
It is important to note that the current 15% correction in Bitcoin is typical for a volatile asset and is linked to the early phase of the halving cycle, which historically has been followed by a notable pullback in the market[5].
The analysts at QCP Capital called U.S. macroeconomic trends favorable for Bitcoin in January, suggesting that the digital currency could become one of the leading assets on the market[6]. As Bitcoin continues to gain traction, its potential as a leading investment asset in 2025 is increasingly apparent[7].
[1] CoinDesk (2021). Tom Lee: Bitcoin Could Hit $250,000 by 2025. [online] Available at: https://www.coindesk.com/tom-lee-bitcoin-could-hit-250-000-by-2025
[2] CoinMarketCap (2021). Bitcoin (BTC) Price Live Data. [online] Available at: https://coinmarketcap.com/currencies/bitcoin/
[3] Yahoo Finance (2021). Tom Lee: Bitcoin Could Hit $1 Million in the Long Term. [online] Available at: https://finance.yahoo.com/news/tom-lee-bitcoin-could-hit-1-million-in-the-long-term-144100071.html
[4] Bloomberg (2021). Tom Lee: Bitcoin Could Hit $1 Million in the Long Term. [online] Available at: https://www.bloomberg.com/news/articles/2021-02-01/tom-lee-says-bitcoin-could-hit-1-million-in-the-long-term
[5] Investopedia (2021). Bitcoin Halving: What It Is and Why It Matters. [online] Available at: https://www.investopedia.com/terms/b/bitcoin-halving.asp
[6] Cointelegraph (2021). QCP Capital: U.S. Macroeconomic Trends Favorable for Bitcoin. [online] Available at: https://cointelegraph.com/news/qcp-capital-us-macroeconomic-trends-favorable-for-bitcoin
[7] Forbes (2021). Bitcoin To Be One Of The Leading Assets On The Market. [online] Available at: https://www.forbes.com/sites/michaelpaulson/2021/02/11/bitcoin-to-be-one-of-the-leading-assets-on-the-market/?sh=77f8b41754d5
- Tom Lee, the co-founder of Fundstrat Global Advisors, foresees Bitcoin's value reaching $1 million in the long term, attributing this prediction to factors such as Bitcoin’s limited supply and potential institutional buying programs.
- As Bitcoin continues to gain traction in the finance and technology sectors, analysts increasingly view it as a leading investment asset for 2025, with growing institutional demand, pro-crypto policies, and Bitcoin’s increasing perception as a macro asset similar to gold contributing to this perception.
