Lee said on CNBC’s “Fast Money” referring to the U.S. Securities and Exchange Commission (SEC), “The news that we have seen, from the SEC saying bitcoin’s a commodity, to … the potential for an [exchange-traded fund] is causing investors to decide that bitcoin is the best house in a tough market.”
The first generation cryptocurrency has witnessed a roller coaster topping $19,000 in December and a low of $2,900 in August. It dropped below $6,000 at the end of June marking the lowest value in 2018, according to sources. BTC then rallied to $8,400 in July, before it plunged to $7,000 lately.
BTC price chart
“Bitcoin isn’t broken if it’s holding at these levels. I think people are afraid it is going to go back down to $6,000 and never come back from those bear markets,” Lee stated.
Earlier SEC leaders have termed BTC as a commodity and in June made it clear that cryptocurrencies would not be treated like securities, which offers a peek at how the agency might seek to regulate them. Crypto bulls opinionated that some recent collaboration of Intercontinental Exchange with major companies, including Starbucks and Microsoft will validate bitcoin.
In the past couple of weeks, bitcoin’s market values have spiked to its highest level all year round to 48 percent, Lee said.
“I think bitcoin dominance is actually showing the market is reacting to what’s been taking place,” Lee said.
Bitcoin strategist Tom Lee head of research at Fundstrat recently said it’s a meaningful signal that the BTC bottom is behind us. BTC is heading high, and experts have predicted that the leading cryptocurrency by market capitalization could ‘push as high as $9,200 very soon.’
When he was asked $20,000 days were nearing, Lee revealed that till BTC reach $25,000, the price increase gradually. He also opinionated that the current market ETF speculations and other factors might lead BTC to reach the top position. According to him, bitcoin will soon witness an all-time high.
Join our telegram group