In early October 2018, Tom Lee from Fundstrat noted Bitcoin “could end the year explosively higher.” Furthermore, he said Bitcoin could rally as high as $25,000.
He even called for Ethereum to rally to $1,900 by 2019.
“People are too Bearish,” says Tom Lee
The Fundstrat executive reiterated that target with Heidi, otherwise known as BlockChainChick on Twitter. “People are too bearish… What happens is people get bearish because it makes sense. You know the market conditions have been terrible and we are under our 200-day moving average,” he told her, as quoted by Ethereum World News.
Furthermore, Lee found that Bitcoin does not perform well under its 200-day moving average.
“We [at Fundstrat] just published a report this week that pointed out to our clients that when Bitcoin is under its 200-day, it only goes up 50% of the time in the next six months. But when it’s above its 200-day, it is up 80% of the time [in the next six months], so the trend implied by the 200-day is obviously very important.”
Tom Lee Fundstrat Survey: Bitcoin Prices Reaches the Bottom
“Until people are convinced that there’s a bottom, like there are a chicken and an egg, you can’t motivate people until the [bottoming] event happens.”
However, it would appear a bottom may already be in place according to the Fundstrat survey.
After plunging from $20,000 to nearly $6,000, some say the bottom is visible. Additionally, the Fundstrat survey of 25 institutions indicates that 54% believe in the bottoming of Bitcoin. Furthermore, institutions are also more bullish on prices. Up to 57% believe Bitcoin could rally anywhere from $15,000 to “the moon,” says CNBC.
However, even if institutions are a bit more bullish on the coin, they’ve been hesitant to jump.
Part of the reason for that is a great lack of trust.
There’s no cryptocurrency regulations in place. Moreover, incessant volatility and a lack of liquidity are additional reasons for these views.
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