- The managing partner and head of research at Fundstrat Global Advisors remains optimistic about Bitcoin’s (BTC) performance by year-end.
- Tom Lee believes Bitcoin could still reach $150,000 in 2024, which implies an impressive potential gain.
- A significant point of interest is the anticipated repayment of around 142,000 BTC by the defunct Mt. Gox exchange.
Tom Lee from Fundstrat remains bullish on Bitcoin’s prospects for 2024, especially with the resolution of long-standing issues from Mt. Gox.
Bitcoin Forecast: Hitting $150,000 in 2024?
In a recent interview with CNBC, Tom Lee of Fundstrat Global Advisors reinforced his positive outlook for Bitcoin. Despite market fluctuations, Lee holds firm that Bitcoin could surge to $150,000 by the end of 2024—a potential increase of over 137% from its current valuation. Lee’s optimism stems from multiple factors, including the anticipated distribution of approximately 142,000 BTC by the now-defunct crypto exchange Mt. Gox.
Impact of Mt. Gox Repayment on Bitcoin
Mt. Gox, which was once a dominant player in the crypto market, is set to begin repayments to creditors. This long-awaited event is expected to release nearly $9 billion worth of Bitcoin into the market between July and October. While some investors may fear such a large influx could be bearish, Lee argues that removing this long-standing “overhang” could trigger a sharp rebound. “Bitcoin is probably suffering from the Mt. Gox distributions starting in July. That was a huge overhang for many years,” Lee explained.
Bitcoin’s Historical Performance Insights
Lee also noted that Bitcoin’s price action tends to concentrate on a handful of critical days each year. “Bitcoin makes most of its gains within ten days every year. Eliminating these ten best days, Bitcoin actually exhibits a negative annual return,” he said. This unique performance pattern suggests that despite temporary drawbacks, Bitcoin retains substantial upside potential within a short span.
Broader Market Implications
Expanding his insights beyond cryptocurrencies, Lee also shared positive viewpoints regarding the stock market. He forecasted that the S&P 500 would finish the year on a higher note. “Now that we’re at mid-year, 2025 S&P 500 earnings are increasingly promising, likely reaching $275 or even $285, compared to our initial estimate of $260,” Lee said. Furthermore, he suggested that improving macroeconomic conditions might lead to higher Price-to-Earnings (P/E) multiples next year.
Conclusion
Tom Lee’s bullish stance on Bitcoin and broader financial markets should not be overlooked. As Mt. Gox begins its BTC repayments, the resulting market stabilization could indeed propel Bitcoin towards the $150,000 mark. Investors should stay informed and cautiously optimistic about the potential upside that the latter half of the year might hold for both Bitcoin and traditional equities.
