During an interview with CNBC’s Squawk Box, Lee expressed his belief that a succession of approved Bitcoin spot ETFs would reshuffle the dynamics of Bitcoin’s supply and demand, leading to significant price appreciation.

Read Also: Top Analyst Warns of a Bull Trap, States Why He Thinks Current Bitcoin Price Rally Is Unsustainable

Lee emphasized that the imminent approval of these investment instruments would virtually propel BTC’s price to reach $150,000 or higher prices like $180,000. He credited Fundstrat’s crypto digital strategist for determining the clearing price, which stands at the staggering figure of over $150,000.

Tom Lee noted:

“If the spot Bitcoin [ETF] gets approved, I think the demand will be greater than the daily supply of Bitcoin. So the clearing price — this is done by our crypto digital strategist — is over $150,000. It could even be like $180,000.”

Several major players in traditional finance, including Fidelity, Invesco, Wisdom Tree, ARK Invest, and Valkyrie, have followed in the footsteps of BlackRock, the world’s largest asset manager, and submitted applications for physically-backed Bitcoin ETFs with the SEC.

Although the SEC recently halted Cathie Wood’s ARK 21Shares application, the growing global traction of Bitcoin ETFs highlights their increasing significance within the cryptocurrency sector. However, Lee believes that an endorsement by U.S. regulators would mark a significant milestone, further cementing the mainstream acceptance of these investment vehicles.

The Relationship Between Bitcoin and Economic Conditions

Lee also noted the interplay between cryptocurrencies and the broader economic landscape. He argued that the stabilization of interest rates would lead to more accommodating financial conditions, potentially resulting in increased volatility for riskier assets like Bitcoin (BTC). Thus, even if a spot Bitcoin ETF fails to secure approval, Lee remains confident in Bitcoin’s upside potential due to the upcoming halving event.

The scheduled halving event, slated for April 26, 2024, occurs approximately every four years and reduces the Bitcoin miners’ rewards by 50%, effectively regulating the supply economics of the blockchain.

Read Also: Analyst Who Accurately Predicted 2021 BTC Crash Shares His 2023 Bitcoin Price Target. Here’s His Chart

The next Bitcoin halving is expected to decrease the reward per block from the current 6.25 BTC to 3.125 BTC. Lee asserted that this reduction in supply will compel the clearing price to rise, although it may not reach six figures.

Interestingly, other experts also anticipate a swift ascent of Bitcoin, with Blockstream CEO Adam Back recently betting that the cryptocurrency will hit the $100,000 mark just before the halving, a date that is potentially closer than many anticipate.

Even with the possibility of a spot Bitcoin ETF approval and the upcoming halving event, the future trajectory of Bitcoin (BTC) price still remains uncertain. However, Tom Lee’s bullish expectations, supported by his analysis of supply-demand dynamics and the correlation with economic conditions, give enthusiasts and investors much to anticipate in the coming years.

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The post Fundstrat’s Tom Lee Sets Over $150,000 Bitcoin (BTC) Price Target. Here’s the Catalyst appeared first on Times Tabloid.

In an interview on CNBC, Lee stated that the involvement of baby boomers (people over the age of 65) may trigger a rally that would send the price of Bitcoin (BTC), the largest cryptocurrency by market cap, to over $200,000.

According to Lee, 76% of all wealth in the United States is controlled by people above the age of 65. He said this group of people, who think Bitcoin is something that people who live in the basement play with, are holding $100 trillion.

The crypto pundit then said if 2% of the $100 trillion held by this group of people is allocated to crypto, one could see at least 10 times of current value.

The Fundstrat Global Advisors’ managing partner added that some of the biggest risks to cryptocurrencies include the development of technology that could compromise classical cryptographic algorithms used to secure the Bitcoin (BTC) network.

Tom Lee noted:

“If I had to say what’s the simplest way for a big step function to happen in crypto, it’s really getting existing generations of investors in the US, not new investors, to actually be willing to allocate to Bitcoin.

“76% of all the wealth in America is controlled by people over age 65. So that’s nearly $100 trillion held by people that think Bitcoin is still kind of a hobby or things that people who live in the basement play with.

“I think regulation could actually unlock a lot of that movement. Just imagine 2% out of $100 trillion allocated to crypto. You could see a five to 10, 15 times increase in total network value…

“I think the biggest downside for crypto will actually be a vulnerability exposed in Bitcoin because it is the most important blockchain and the one with the most value stored on it.

“And there are really two things that could happen. One is if the cost of energy globally fell to zero because if you don’t have to spend money to protect a security network then it means someone can launch a 51% attack.

“And of course, the second is that cryptographic hash becomes exposed. Meaning someone finds a way to actually, whether it’s quantum [computers], to essentially defeat the proof-of-work concept itself. So I’d say those are the biggest downside risk.”

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The post Fundstrat Global Partner Highlights How $100 Trillion Investor Class Could Send Bitcoin to $200k appeared first on Times Tabloid.