The Fundstrat Global Advisors co-founder and head of research Tom Lee have maintained his bullish outlook about the crypto market and his Bitcoin prediction of hitting $100K. The Wall Street strategist affirmed that the global market was in an “everything rally” and the value of investment vehicles is expected to rise because of favorable economic conditions.
Lee had predicted that Bitcoin would reach $100K before the year-end. And while speaking to CNBC this week, he reiterated his prediction was still intact besides his outlook for the stock markets.
Global Stock market
Lee cited the Federal Reserve Bank approach as the bullish driver for the global stock market. According to the analyst, FED’s confirmation that the interest rates would remain unchanged despite the risk that the COVID-19 Omicron variant pose to the world economies assures investors that the FED has their back.
“The [FED] framework includes the risk that variants like the Delta variant slowed the economy, and if Omicron has an impact, they could roll back this framework…That’s a template the market understands and agrees with.”
Most specifically, Lee focused on the S&P 500 index stock predicting that it shall reach $4,800 before year-end and possibly also advance towards $5,000.
Crypto market
Lee’s crypto optimism is shared by the majority of crypto players who expect most cryptocurrencies to finish the year on a bullish trend.
According to previous performance, Bitcoin is historically known to perform very well during the fourth quarter and when it does not, it goes on to rally in the next quarter, which is the first quarter of the next year.
Besides Bitcoin, Ethereum (ETH) is also expected to finish the year on a strong note. In the last few days, Ethereum has been performing better than Bitcoin and there are great prospects among traders that it could hit $5,000 before the end of the year.
Other altcoins especially metaverse tokens have also been posting very good performances and they are expected to carry on to the year-end.