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Bitcoin Forecast at $6,000 in 2018

Bitcoin Forecast at $6,000 in 2018Bitcoin Forecast at $6,000 in 2018

Thomas J. Lee, one of the most bearish stock strategists on Wall Street, is feeling a lot more optimistic about the prospects for bitcoin. The crypto currency could reach $6,000 by the middle of 2018, according to a note Friday from Lee, the Fundstrat Global Advisors co-founder and former chief US equity strategist at JPMorgan Chase & Co., Bloomberg reported. He said user accounts are likely to rise 50% and usage per account to climb 30%. Every 10% increase in user accounts adds $222 to bitcoin’s value, and each 10% rise in activity per account adds $274, Lee said. Lee still expects bitcoin to reach about $25,000 by 2022 amid institutional sponsorship, better transaction platforms and increasing public adoption. Traders should watch out for “another volatile consolidation period” into the end of August since bitcoin is getting close to resistance levels with short-term momentum becoming overbought; Fundstrat sees $4,500-$4,800 as the next resistance range.

 

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