Bitcoin Close to Bottoming, EOY Target Still $150k: Lee
This week’s U.S. job data and Bitcoin’s 10% dip could signal a potential market bottom, according to Fundstrat’s head of research, Tom Lee.
- The crypto market experienced a bounce last weekend when President Donald Trump hinted at a U.S. crypto reserve featuring five top digital assets, including Bitcoin and Ethereum.
- Investors quickly deployed over $330 billion across cryptocurrencies in response to this announcement.
However, within 24 hours, outflows exceeded $600 billion, and the market erased all gains. Despite the downturn, Lee maintains that Bitcoin will end 2025 above $150,000. At the time of writing, BTC was trading slightly above $83,000, having recovered from a low near $81,900.
Lee’s Bitcoin Prediction
Speaking with CNBC, Lee forecasted that Bitcoin may find its market bottom as soon as this week. Market bottoms are typically seen as levels where assets bounce and are viewed as catalysts for upward momentum.
- Though Lee’s prediction is long-term, he anticipates short-term volatility will help in identifying the bottom.
- He suggests that this phase may cause BTC to fall to $62,000 in March, marking a 24% decline from current levels.
This scenario would take Bitcoin’s drop from its all-time high to over 50%, potentially marking one of the largest drawdowns in the asset’s history, and setting a four-month low.
Bitcoin’s Potential Drop
Fundstrat’s Tom Lee predicts a potential 24% drop in BTC | Source: TradingView
- Historical data indicates a nearly 50/50 chance of this prediction playing out. From 2013 to 2024, Bitcoin closed March with losses six times and posted gains five times.
Many analysts agree that BTC and the broader crypto market could face risk-off sentiment due to ongoing economic uncertainty. For instance, trade wars, sparked by President Trump’s tariffs against Canada, Mexico, China, and other nations, have contributed to the unease.
Lee believes that this week’s U.S. job data could alleviate some concerns and help restore investor confidence. Notably, Bitcoin saw a slight uptick following the release of last week’s Core PCE data, before dipping again.
