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Bitcoin is about to clear a major hurdle and the cryptocurrency will recover from the crash to reach $150,000 by the end of the year, says Fundstrat’s Tom Lee
According to Fundstrat head of research Tom Lee, Bitcoin is still on track to hit $150,000, implying a 138% upside from current levels.Getty Images
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By the end of the year, Bitcoin holders will see a huge appreciation of the coin.
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Tom Lee said the cryptocurrency is on track to hit $150,000 after clearing the surplus created by Mount Gox refunds.
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Bitcoin has had a good year so far, hitting a new all-time high before falling slightly in recent weeks.
According to Tom Lee, head of research at Fundstrat, a new bull run is on the horizon for Bitcoin: investors are set to see the token rally to $150,000 by the end of the year.
Lee, one of the most bullish bitcoin analysts in recent years, predicted that the cryptocurrency would still be on track to hit $150,000, implying a 138% increase from Monday’s price.
That may come as a surprise to holders of the token, who have seen bitcoin slide 7% in the past month, not long after hitting record highs in early 2024. However, Lee said the sell-off was partly driven by nervousness about payments from Mount Goxthe cryptocurrency exchange that locked up about $9 billion in cryptocurrency when it filed for bankruptcy a decade ago.
The trustee overseeing the exchange’s bankruptcy announced it will begin issuing refunds to about 20,000 users starting this month. Anticipation for the event has weighed on cryptocurrency prices recently, according to search from K33The fear is that the distributions could lead to severe selling pressure for bitcoin, as investors have cashed in on the token since being locked out of their accounts a decade ago.
But the impact of the refunds will fade, Lee suggested, predicting another big rally to boost bitcoin for the rest of the year.
“Bitcoin is probably suffering from the initial distributions of Mount Gox in July. It’s been a huge swing for many years, but if you were investing in crypto, knowing that one of the bigger swings is going to disappear in July, I think that’s a reason to actually expect a pretty sharp bounce in the second half,” he said. The CNBC on Monday.
Other bitcoin forecasts Have remained bullish on the currency this year, especially as the Fed looks set to cut interest rates. The price of bitcoin has rebounded after a brutal 2022with the coin recovering all its losses to mark a new all-time high around $73,000 this year.
Read the original article on Business Insider