Key Points
- Bitcoin could potentially reach a new all-time high of $100K before the end of the year, according to analyst Tom Lee.
- The choice of U.S. treasury secretary by President-elect Trump could significantly influence Bitcoin’s future value.
Bitcoin’s value could potentially reach a new all-time high, even surpassing the $100K mark before the end of the year. This prediction comes from Tom Lee, a strategic investor and analyst at Fundstrat. The choice of the next U.S. treasury secretary by President-elect Trump could become a significant factor in this scenario.
Analyst’s Prediction
In a recent interview with CNBC, Lee expressed his confidence in Bitcoin’s potential rise in value. He stated, “I think comfortably over $100K makes sense before the end of this year.” He also mentioned that the ongoing ‘Trump trade’ and the upcoming Nvidia earnings report could be bullish indicators for Bitcoin.
The market’s expectation for Bitcoin to reach $100K is also influenced by the potential selection of the U.S. Treasury Secretary. Some believe that this choice could determine the creation of a national Bitcoin reserve. However, at present, there is no clear pick for the position, and the likelihood of Trump creating the reserve is estimated at only 33% by Polymarket.
Market Expectations
Adam Back, the founder of Blockstream, believes that the potential for a U.S. strategic Bitcoin reserve is not yet factored into the market. He suggests that if such a reserve is created, Bitcoin’s value could potentially reach seven figures. This would mean a value of over $1M per Bitcoin. In the near term, Polymarket estimates a 66% chance of Bitcoin hitting $100K by December 2024.
Options traders on Deribit have a similar bullish outlook, with slightly lower odds. They estimate a 24% and 39% chance of Bitcoin reaching $100K by the end of November and December, respectively.
The price chart shows a typical bull pennant on the daily chart. In most cases, the bullish targets for the pattern breakout correspond to the flagpole’s length. This would translate to a price target of over $110K for Bitcoin, similar to the targets options traders are betting on.
