Tom Lee of Fundstrat: Bitcoin Bulls to Return in 2019
Tom Lee of Fundstrat Global Advisors has once again given cryptocurrency market predictions. The long-term Bitcoin bull stated earlier that sentiment will once again turn positive during 2019.
Lee draws on technical, macro, and fundamental indicators to make these conclusions. However, we all know that he has been wrong on more than one occasion when it comes to Bitcoin price.
Lee opined that 2019 was a year of “repair” for BTC. He stated that the Bitcoin Cash hard fork and the subsequent “fork wars” as he refers to threats made by Craig S. Wright to 51% attack the Bitcoin ABC side of the split out of existence had been massively detrimental for investor confidence.
During the so-called “fork wars”, the price of Bitcoin dropped steeply from the low $6,000 range it had held for many weeks down to just above $3,000. Lee therefore expects this range to serve as massive resistance on the way back up.
However, the BTC optimist did highlight multiple positive factors that he believes will allow the market to soar when sentiment does finally improve. These included previous macro headwinds – the fact that the dollar performed so well in 2018, for example; infrastructure improvements – the launch of Fidelity’s custody solution and the Bakkt platform; and finally, technical indicators – Bitcoin price is now comfortably bouncing along the 200 day moving average.
The conversation then turned briefly to Venezuela. Lee pointed out that people there were starting to use cryptocurrency thanks to the hyper-inflated bolivar:
“Turmoil is causing adoption to grow.”