Amid the massive bitcoin bear run initiated by Elon Musk’s recent tweets, Fundstrat Global Advisors’ Managing Partner and Head of Research, Tom Lee has reiterated his firm belief in the cryptocurrency, increasing his bitcoin price expectation for the year.
Lee noted in an interview that he is so convinced of bitcoin’s ability to rise above this huge price drop. To further cement his statement, Lee increased his bitcoin price outlook from $100,000 to $125,000 by the end of the year.
He pointed out that Musk’s recent decision to stop his electric car company, Tesla, from accepting bitcoin as payment for its products could have been influenced by investors.
However, he still expressed optimism that Tesla’s recent stance will not have much impact on bitcoin bulls and the digital asset’s overall performance.
He said, “I don’t think it’s going to get people negative on bitcoin, but it is going to get people to focus on the problems that are being created by digital assets,” he told Insider. “It is probably better to view it as a call to action for the bitcoin industry to focus on renewables or more efficient ways to provide proof of work.”
Lee emphasized that bitcoin’s benefits far outweigh its risks. He firmly reiterated that bitcoin will rise out of the depths it has plunged into and regain its dominance as the king of cryptocurrencies.
“Bitcoin dominance will actually grow during a bear market,” he concluded.
Will Tesla Liquidate Its Bitcoin Holdings?
While the crypto community is still trying to come to terms with Tesla’s recent stance on Bitcoin, the electric car company is rumored to have started selling some of its bitcoins.
The rumors have caused the digital currency to plunge even lower than it already has. Millions of investors are fast liquidating their bitcoin positions due to FUD.
With the chain of tragic events befalling bitcoin, it is not wrong to wonder, “Will bitcoin go back up?”
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