Bitcoin [BTC] and other cryptocurrency price predictions are very difficult, says Tom Lee

Tom Lee, the co-founder of Fundstrat, who is well-known in the cryptocurrency community for his Bitcoin predictions, spoke about the whether or not he will continue to make predictions during an interview with Ran NeuNer for CNBC Crypto Trader. He also listed out the reasons as to why he is bullish on cryptocurrencies.

The interview began with NeuNer speaking about the past Bitcoin predictions made by both Lee and him, adding that they have “got a lot of price predictions wrong”. This was followed by NeuNer asking Lee whether he was still making predictions. To this, he said:

“No, we decided that it is very difficult to try to predict the price of crypto and digital assets 12 months forward. So, we are really talking more about, you know, the upside, downside and relative value but not trying to establish any price targets.”

Following this, Lee spoke about the current stage of currencies and the reason he was bullish on cryptocurrencies, stating that the market was still in its early days. He further stated:

“The best way to measure that is, let’s say crypto is really sort of transforming the financial system and one benchmark is visa because there’s five billion roughly five billion visa and card holders. there’s probably at most 50 million active crypto wallets today.”

Lee added that the cryptocurrency market still has a “huge amount of growth” ahead of it because the jump from 50 million to 5 billion would be massive in terms of the total number of users.

This was followed by Lee speaking about whether centralized institutions launching their own cryptocurrencies i.e., a stable coin, such as JP Morgan, and Facebook, were good for the crypto-economy. He said:

“Yeah. I think it’s a validation essentially of the proof of concept, you know, I think if you looked at institutions, you know financial institution views a crypto; they probably thought digital assets was a bad idea a couple years ago. Now, they’re launching their own permission blockchains. It’s really saying that cryptos onto something right”