Most of the time it is difficult to predict what is going to happen tomorrow, let alone when it comes to prices of cryptocurrencies in a week. But one researcher has gained a reputation of a crypto-oracle as he had been predicting lots of bullish bitcoin’s booms as well as slumps. It is Fundstrat’s Tom Lee.
However, not all his forecasts have panned out. Bloomberg’s journalist Lily Katz has noted, Lee deserves “some credit” for “owning up” when one of his latest BTC predictions failed to come to life.
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On May 7, Tom Lee, the leader of research at Fundstrat Global Advisors, forecasted that the most valuable cyber-coin in the world BTC would see its highs at the time of Consensus 2018. The last one, by the way, is believed to be the most significant gathering in the niche of digital assets. Last week, according to reports, it drew thousands of crypto-supporters to Midtown Manhattan.
Not likewise Lee predicted, bitcoin didn’t show any signs of the growth. By contrast, most of the cryptos’ prices went down by approximately 10% within the last week. And the bullish bitcoin’s forecaster Lee admitted the fact in a report to his clients, released on Friday, May 18.
In particular, he wrote that typically gatherings like this – Consensus 2018 – are good as they can unite in one centralized place various crypto-positive factors at a time. Literally, he named such crypto-elements of the cyber money ecosystem as:
- constituents new to the community
- ‘sanity check’
- ‘new interest’
All of them, as per his views, should enhance the crypto-ecosystem’s members’ persuasion and ideas. But most importantly, on par with incremental components, all these factors “should have aided crypto-currency prices.”
But this, apparently, never happened at the time of Consensus. Why?
Why Didn’t Bitcoin Grow In Price During Consensus?
Lee has found few excellent excuses for his prediction failure. And one of them is the lack of transparency in the digital assets’ regulation from such authorities as the American SEC – Securities and Exchange Commission.
The second reason, for sure, is that cryptos need a growing interest from the traditional companies.
“Crypto still faces significant internal resistance and hurdles within traditional financial institutions. But it is encouraging, nonetheless, that a large share of incremental attendance are financial institutions,” said Lee.
Will These Lee’s Forecasts Pan Out?
Previously, Fundstrat’s head of research predicted that by the end of 2018 the price of bitcoin would grow up to $50,000 per unit. Nevertheless, Lee recently has announced a new prediction – which seems much more realistic –, and it is the half of what had been forecasted before – $25,000 per BTC coin.