Famous bitcoin bull and financial analyst Tom Lee has again offered his two satoshis on the state of bitcoin – this time taking a broader perspective on the crypto market.
Talking to CNBC today, the co-founder and Managing Partner of Fundstrat Global Advisors, again defended his consistent bullishness on the world’s leading cryptocurrency.
Asked whether he regrets ever commenting on bitcoin, Lee was steadfast in his message, focussing on the longer-term potential of the revolutionary technology:
“No I don’t. For me digital money and blockchain is a multi-decade story, I think we’re in the early stages..”
And when asked which decade historically the current state of the market is most comparable to, he explained:
“It might be the 80s, I did wireless in the 90s so I saw 20 years of mobile and interent convergence, to me this is not that different.”
More specifically, Lee was keen to point to a significant trend for bitcoin’s price:
“I think the reason bitcoin looks really good here is the cost of mining is around $7,000 fully loaded, and the dififculty is rising so by the end of the year its going to be close to $9,000. Bitcoin has historically traded at two and a half times its mining cost – so its' not out of the question that it could be over $20,000 by the end of the year – at fair value.”
A Difficult Market to Predict
Lee’s predictions however, have not always borne fruit.
Before the Consensus Conference in May, the analyst was very bullish about crypto prices – claiming that bitcoin could surge 70% during the week-long event. With the price of the cryptocurrency actually dropping substantially after the conference, Lee later acknowledged his error – explaining to investors that “crypto still faces significant internal resistance and hurdles within traditional financial institutions.”
With bitcoin currently up 8% for the week and trading at $6,579 – Lee’s latest bullish sentiments will no doubt fall upon receptive ears, but the outlook for now is as unclear as ever.
