During his Monday appearance on CNBC's "Squawk Box," Fundstrat co-founder Tom Lee predicted that the price of Bitcoin is going to hit $150,000 in 2024.
According to Lee, Bitcoin is still early in its current bullish cycle. "The idea that it could get to $150,000 is still within our base case," he said.
The leading cryptocurrency is currently trading just above the $63,000 level after giving up some of its recent gains.
As reported by U.Today, Lee opined that the market was being fooled by the April turmoil during a recent conversation with American investor Anthony Scaramucci.
Earlier this year, the Fundstrat co-founder also spoke in detail about the transformative impact of Bitcoin ETFs, describing them as a "wonderful development" since they allow people to have exposure to the largest cryptocurrency without the need to store private keys.
Alex DovbnyaLee believes that the price of Bitcoin could reach $500,000 within the next five years.
Inflation to drop "dramatically"
A week ago, the price of Bitcoin experienced a dramatic plunge due to stagflation fears triggered by worrying inflation data. The Fudndstrat co-founder, however, is convinced that inflation is going to decline "dramatically" this year in the US.
"I think inflation is going to sorta cool pretty dramatically," Lee said.
Lee cannot precisely predict when this dramatic drop in inflation is going to take place, but he expects this to happen in the second half of 2024.
Lee does not think that the U.S. Federal Reserve is actually comfortable with long-term rates at these levels. He has explained that high rates are putting a lot of pressure on regional banking. "It's hurting their balance sheet. The cost of money is quite high, especially relative to the rest of the world."
Tomiwabold Olajide
Arman Shirinyan
Dan Burgin
Vladislav Sopov