A Wall Street’s bitcoin big fish says the cryptocurrency could “easily double” or even triple in 2018.
Back in August 2017, Tom Lee, head of research at Fundstrat Global Advisors, predicted bitcoin’s rally above $10,000 and declared that the digital currency would outperform equities through the end of the year. He was right, bitcoin rallied to a high near $20,000 in December, with its performance widely outpacing stocks.
Since that high, Bitcoin has fallen 25%, but despite the drop, Lee is still pounding the table on the cryptocurrency:
“Even on a risk-adjusted basis, I think bitcoin is going to easily outperform the S&P,” Lee said Tuesday to CNBC. “On a long-term basis, [the easiest way to look at bitcoin is] as a replacement or a store of value,” he said. “…As millennials discover and generate income, they’re going to use it as a replacement for gold.”
“If bitcoin gets 5% of the gold market, that’s roughly $50,000,” he added.
