The cryptocurrency market has slowed over the past few days, with Bitcoin holding price levels within the mid $7,000s. However, Robert Sluymer and Tom Lee, both from market analysis firm, Fundstrat, believe that this will change very shortly.
Tom Lee Reaffirms His $25,000 Prediction Again, This Time On Bloomberg
Tom Lee is by-far one of the most prominent cryptocurrency bulls out in the space right now, with regular appearances on mainstream media sources covering topics related to the cryptocurrency industry.
On Wednesday, Tom doubled down on his $25,000 prediction and has not wavered in his belief one bit.
One reason why he is holding strong on this prediction is that he believes that traditional institutions, like banks, will begin to pile into space as they see “lucrative” business opportunities arise. Lee also believes that the regulatory climate around cryptocurrencies will only improve as cryptocurrencies reach higher levels of institutional and retail adoption.
— Bloomberg Crypto (@crypto) June 6, 2018
Additionally, Lee mentioned a Bitcoin indicator which he seems rather fond of using, the cost of mining a Bitcoin.
The fully loaded cost of (to mine) Bitcoin next year, is going to be like $14,000, reflecting the difficulty”
He has continually noted that Bitcoin has held at the cost to mine, which means that Bitcoin will rise to meet the cost of mining when necessary.
Robert Sluymer, Also From Fundstrat, Sees Bitcoin Bottoming
Down the street in CNBC’s broadcasting room, Sluymer pointed out the series of higher lows which the price of Bitcoin should hold at if the market stays in a bearish state.
As Sluymer stated last week on another CNBC segment:
We think Bitcoin is starting to bottom off some very key support around $7,000 and we think it’s going to start a recovery process here.
He reiterated on yesterday’s broadcast that he believes that Bitcoin is about to “challenge its downtrend,” with Bitcoin’s price movement possibly turning to the upside if it breaks through the current downtrend levels.
As well, he also pointed out that Bitcoin’s RSI was sitting at quite a low level, similar to the levels seen before previous temporary movements to the upside seen earlier this year.
The setup is there, but what we need to see is the token actually breakout and move through some very key levels.
Sluymer also noted that one of these key levels is at $7800, which Bitcoin nearly tested earlier last week, but to no avail, with Bitcoin struggling to surpass that level.
The market analyst specifically said: “$7800 level, and it needs to get through that level to confirm that you are actually getting a trend reversal”
However, like many analysts, Sluymer had something to say about the unlikely chance of a ‘worst comes to worst’ scenario. He mentioned that if Bitcoin does not hold price levels at $7350 and $7000, that we could see further moves towards the downside.
But Sluymer has still shared the bullish sentiment with his co-worker, Tom Lee, saying:
If you’re short we think you should be very careful and reducing your short exposure. I think if you’re looking to be long this is where you start adding here to your long exposure.