In a recent interview with CNBC, Fundstrat’s Tom Lee says that the current cryptocurrency crisis is “not that different” from 2018.
Lee claims that the previous bear market was the time when some of the best projects were created.
He adds that the ongoing cryptocurrency winter is “an important moment” for the industry since it is cleansing a lot of bad players.
Contrary to Mizuho’s senior analyst Dan Dolev, Lee doesn’t think that crypto is dead. The latter is convinced that cryptocurrencies will have staying power because they will remain popular with those people who value decentralization.
Lee says that he would still recommend investors buy Bitcoin in spite of the recent FTX implosion.
Tom Lee’s prediction fails miserably
With that being said, Lee admits that 2022 has been a terrible year for crypto. “Nobody has made money in crypto in 2022,” the analyst said.
The permabull predicted that Bitcoin would hit $200,000 in 2022 last December. Back then, the Fundstrat analyst described that target as “achievable,” forecasting that 2022 would be “a good year” for the largest cryptocurrency.
What about 2023?
Lee doesn’t rule out that 2023 could also be a terrible year for Bitcoin if there is “more fraud.”
However, if the FTX crisis was the ultimate stress test, industry leaders will be able to emerge even stronger from the ongoing crypto similar to how banks of the likes of JPMorgan emerged stronger from the global financial crisis of 2008.