Home Litecoin Bitcoin Could Break Through to a New High in 2019, Predicts Tom Lee

Bitcoin Could Break Through to a New High in 2019, Predicts Tom Lee

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By CCN Markets: A debate has been raging about whether or not or not bitcoin ought to be deemed a safe-haven asset. After all, the main cryptocurrency certain wasn’t behaving like one and buyers certain weren’t doing a flight to security in crypto whereas the fairness markets had been getting hammered this week. Even now, bitcoin is quietly holding onto $10,000 however not earlier than having dipped under that key degree in latest days.

Bitcoin bull and Fundstrat Co-Founder Thomas Lee shouldn’t be in the least spooked that buyers did not flock to bitcoin whereas the inventory market – rightfully or wrongfully – signaled a recession. Lee told Fox Business that bitcoin, in truth, is a safe-haven asset, pointing to the premium value paid for the main cryptocurrency in “markets that are in turmoil.” Indeed, a Bloomberg report just lately revealed that the bitcoin value was fetching premiums of 10 p.c and four p.c in Argentina and Hong Kong, respectively.

Defenders of bitcoin as a protected haven make the argument that you’ve have a look at the longer-term image quite than the day-to-day motion in the worth. Fundstrat’s Lee, for instance, notes that BTC has greater than tripled since year-end 2018. Its uncorrelation to shares and bonds makes it a good “diversification hedge.” Lee can be the one to just lately remind us that BTC $10,000 is the FOMO level, however institutional buyers seemingly have but to come off of the sidelines.

Nonetheless, one thing about together with “safe haven” and “bitcoin” in the identical sentence appears off, given the unpredictable if not defiant nature in which the main cryptocurrency trades. 2018 is not too far in the rearview mirror, in any case.  Besides, why else would crypto asset managers advise such a small allocation to BTC vs. different asset lessons? A uncommon alternative – positively. But protected is a little more durable to swallow. This classic 1999 Jeff Bezos/Amazon.com video that has gone viral on Reddit reminds us of the nascent days of the web which can be comparable to the place crypto is at present.

Bitcoin to the Moon

Fundstrat’s Lee shouldn’t be out of the bitcoin value prediction enterprise. After final yr’s bullish name for BTC $25,000 did not work out, Lee backed off from making value forecasts for a whereas. With the wind seemingly at its again, bitcoin may make a sturdy end in 2019 related to its report show in 2017, and Lee does not need to miss out. He tells Fox Business host Stuart Varney:

“I think it’s going to be much higher by the end of the year and potentially at new all-time highs. I think anyone who wants to have a 2 percent or 1 percent allocation to bitcoin as a hedge against a lot of things that could go wrong it’s a smart bet.”

BTC Isn’t Dead

So why hasn’t bitcoin risen to the event whereas equities are gasping for air? Lee steered that the flagship cryptocurrency has been “resting,” which Fox Business host Stuart Varney discovered amusing and in contrast to the useless parrot Monty Python sketch.

Unlike the parrot, Lee famous, bitcoin is not useless.

This article is protected by copyright legal guidelines and is owned by CCN Markets.

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