Bitcoin Bull Tom Lee Sticking to his $25k Prediction

Avi Rosten
  • The well-known bitcoin bull is still standing by his predictions for BTC, seeing the coin hit $25k in 2018
  • Identifying several factors that will push the price up - Lee sees increasing institutional investmtent as crucial

Tom Lee, Co-founder and Managing Partner of Fundstrat Global Advisors is doubling down on his bullish bitcoin predictions for 2018 despite the recent slump.

In an email to CNBC, the well-known bitcoin bull said that despite the cryptocurrency recently losing nearly all of the gains it has made since mid-April, he still sees the coin hitting his previously predicted high of $25,000 for 2018.

BTC today dropped below the $8,000 mark for the first time in over a month and is trading at the time of writing at $7529 according to CryptoCompare - a 41% drop for the year.

Lee however, attributes this latest drop purely to “typical crypto volatility” and identified several factors that he sees pushing the coin up to new highs in 2018.

The biggest factor in his opinion is the increasing involvement of institutional investors in the crypto space.

Talking to CNBC’s “Futures Now” yesterday, Lee commented:

"I think institutional investors have gained a lot of interest, and they haven't really come into crypto yet because there is still some regulatory uncertainty. But that sort of ultimate allocation into crypto as an asset class is going to be a powerful reason why bitcoin rallies."

Tom Lee

Moreover, historical data from Fundstrat he says corroborate his optimistic outlook:

"Historically, 10 days comprise all the performance in any single year of bitcoin's price," he said. "If you just took out those 10 days, bitcoin's down 25 percent a year. So as miserable as it feels holding bitcoin at $8,000, the move from $8,000 to $25,000 will happen in a handful of days."

Tom Lee

While Lee’s latest remarks were confidently bullish, the influential figure made a notable error of judgement recently when he incorrectly predicted a 70% surge for bitcoin around the Consensus Conference of last week - a mistake he later attributed to a greater need for regulatory clarity.

52-Year-Old Woman Charged With Operating an Illegal Online Digital Currency Exchange

  • An Australian woman was arrested by authorities for operating an illegal online digital currency exchange.
  • The woman was accused of laundering cash in exchange for cryptocurrency.

A 52-year-old Australian woman has been charged by authorities for allegedly operating an illegal online digital currency exchange. 

According to a report by itNews, detectives from the NSW Cybercrime Squad have charged a Sydney woman for allegedly operating an online digital currency money laundering service. Authorities arrested the woman at a shopping center on May 14 after seizing more than $60,000 in cash and $73,000 in bitcoin from her personal handbag and vehicle. 

The report claims the woman operated an illegal money laundering syndicate that exchanged cash for cryptocurrency. 

Detective Superintendent Matt Craft, the Cybercrime Squad Commander, said, 

While cash is still ‘king’, digital currencies are fast becoming the preferred choice for organized criminal networks involved in money laundering, funding terrorism, and cybercrimes.

Craft continued, calling it “concerning” that digital money laundering exchanges are able to operate unregulated. 

The Sydney-based woman was responsible for an alleged $5 million in bitcoin transactions since 2017. 

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