Tom Lee on Market Crash: 'Bottoms Are Ugly'

Tom Lee, a well-known permabull famous for making audacious price forecasts, has predicted that the cryptocurrency market could be nearing a bottom. 

Bitcoin (BTC) and Ethereum (ETH) have plunged by 4.5% and 8.1%, respectively, over the last 24 hours. 

Tom Lee's turbulent year

Earlier this year, Lee predicted that the price of Bitcoin could hit $200,000 and that ETH could reach $16,000 in 2025. However, such forecasts look absolutely ridiculous in hindsight, given that crypto is now in the middle of a brutal bear market.

Critics like famous short-seller Doug Kass see Lee’s public optimism as media-seeking behavior. As reported by U.Today, his precise short-term forecasts are "fatuous and feckless."

Beyond predictions, Lee actively put his money where his mouth is by spearheading BitMine Immersion, a firm that initially gained attention for Bitcoin mining and later pivoted to become a major Ethereum treasury company. 

At its peak, BitMine held nearly $11 million in ETH, making it a prominent player in that niche.

However, this audacious bet imploded, as reported by Bloomberg. BitMine is sitting on massive paper losses, with the stock collapsing by more than 50% from its peak. 

New bear market?

Bitcoin has plunged by 30% from its all-time peak while other cryptocurrencies suffered even steeper losses. 

The cryptocurrency plunged lower earlier today due to the odds of the Federal Reserve cutting rates in December dropping on the prediction market Kalshi. 

As reported by U.Today, Bloomberg Intelligence strategist Mike McGlone has predicted that the price of Bitcoin could potentially collapse to as low as $10,000 during the ongoing bear market.