Fundstrat co-founder Tom Lee predicted Bitcoin (BTC) price to explode to $150k under certain conditions. If the US SEC approves Bitcoin ETFs, the parent cryptocurrency could see its price break through the $150k mark. Among other key factors favoring this trend, it also spells out the interaction of cryptos with the general monetary climate.
Bitcoin (BTC) ETF Approval: The Main Catalyst
Fundstrat co-founder Tom Lee laid out a potential direction for bitcoin’s price on CNBC’s “Squawk Box.” He stated that Bitcoin could cross the $150k mark, explaining the key factors that can guide this trajectory. The most notable factor is the possibility that US SEC Approves Bitcoin ETFs. According to Tom Leesuch a decision could tip the scales in favor of the Bitcoin whose price will reach $150k to $180k.
This potential trajectory, however, is dependent on SEC approval. Indeed, if Bitcoin ETFs have found their place internationally, this is not yet the case in the United States. The approval of the American SEC thus constitutes a cornerstone for the crypto industry. Some believe that only a Republican victory in the 2024 presidential election could lead to the Bitcoin (BTC) ETF being approved.
The undeniable interaction between cryptos and inflation
Tom Lee also highlighted the interaction between cryptos and the general monetary climate. Effectively, stabilization of inflation rates could lead to an easing of financial conditions. This would prompt central banks to loosen their grip, thus creating an environment conducive to cryptos, especially bitcoin (BTC).
The Fundstrat co-founder added that the current core inflation pegged at 0.16% is anchored by robust housing numbers. However, he expects inflation to ease and drop below 2% by the middle of next year. In a crypto-friendly environment, Bitcoin (BTC) could finally take off after consolidating at the $30k level.
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