In a recent interview on CNBC’s Squawk Box, Tom Lee expressed surprise at Bitcoin’s recent behaviour given a recent 9% slump in equity markets. Lee aforementioned he expected that “Bitcoin volatility ought to be more higher based on how little BTC is in terms of market cap.”
When asked whether or not the present period of stability is “a good point to urge in” for those who wish to enter the crypto phase, Lee answered within the affirmative, adding that Bitcoin [BTC] seems to look for its grounds at around $6,000 USD mark.
As for sustained Bitcoin [BTC] growth, Lee aforementioned that the BTC wants a lot more fiat inflows, that is according to him a real proof of adoption. This is expected to begin happening by the tip of this year or early next year, with the launch of latest platforms and offerings from Bakkt and Fidelity.
Another feature that would influence Bitcoin [BTC] price growth is currency, per Lee, as BTC is actually priced in USD. “So dollar strength has truly been a headwind for BTC. However if the dollar begins to weaken, there’ll be a tailwind for Bitcoin,” Lee added.
Crypto markets are seeing somewhat continuing stagnation over the past couple weeks, with few of the leading cryptocurrencies budging in the value. As of Oct. 18, data from Bitcoinity revealed a regular decline in the Bitcoin [BTC] volatility, calculated as an averaged variance from all market trades throughout 2018. Another explanation of the stability may be low trading volumes of BTC.
Crypto markets underwent some transient volatility as on Oct. 29, when all of the top cryptos were within the red zone. As at the reporting time, Bitcoin [BTC] is trading at around $6,391.24 USD, up by 0.95 %.
Previously, Lee claimed that Bitcoin “could finish the year explosively higher,” citing a correlation between it and the rising markets. The “important correlation,” per Lee, lies within the proven fact that each markets are running somewhat parallel to each another, with each having “really basically peaked” in the early 2018.
Based on the results of last month’s Fundstat survey that incorporated around twenty five institutions along with 9,500 responses to a public Twitter poll, Lee stated that Wall Street is looking a bottom in BTC. Notably, 57% of these surveyed aforementioned that the price of Bitcoin [BTC] is expected to be around somewhat $15,000 USD by the next year.