Tom Lee, Fundstrat Global Advisor co-founder has made headlines of late pertaining to his predictions about Bitcoin. The community, on the other hand, is closely following. Of recent, Lee outlined that the pre-condition that sets in the altcoin-season since 2015 have been met and as such, it could usher the next bull run.
A Drop in Bitcoin and Altcoin Correlation Ushers in the Altcoin-Season
According to Tom Lee, a drop in the correlation between Bitcoin and Altcoins usually ushers in the altcoin-season. He outrightly pointed out that this was the case in 2015 where there was a disparity in the correlation with Bitcoin and other coins on the market.
Some instances that were pointed out is the performance of the market from March 2016 to May 2016 as well as March 2017 to May 2017. November 2017 to January 2019 were also outlined and the current drop in Bitcoin/Altcoin correlation exhibited of recent from March 2019. Thus, Lee has concluded that the next altcoin season may be underway since there is currently a drop between both.
1,100 Percent Gains in 2017 Altcoin-Season
Tom Lee further outlined that the past alt-seasons averaged 1,100% gains and wondered if the next season could even record higher gains. He further outlined that “Given there are probably only ~50mm active wallets (vs 5 billion Visa/MasterCard accts), we think crypto still early in the adoption curve. So it should be similar.”
Those who made comments completely agreed with Lee:
Other Predictions Made by Tom Lee
It’s only been April but Tom Lee has made several positive comments about the cryptocurrency market. For instance, while in an interview with Fox Business Network on January 25, Lee outlined that Bitcoin is resilient. As such, it has the potential of hitting $25,000 even though he can’t point out when exactly that will be.
In an interview with CNBC on March 14, he predicted that Bitcoin’s bull run will take place five to six months from then. In his opinion, the latter will be the case after a pace is set in the next few months which will usher in the bull market. He further noted that if Bitcoin maintains a price above $4,000, its 200-day moving average will be crossed in a few months time.
Of recent, BTCNN informed of Tom Lee’s prediction that Bitcoin’s price will hit $10,000 before this year’s end. The price tag was arrived at by considering investors’ positive risk appetite for Bitcoin. Likewise, the Bitcoin Misery Index (BMI) of 89 which is both a good and a bad thing