Tom Lee Fundstrats Global Advisor a few hours ago, made a prediction that cryptocurrencies will record a historic all-time high in 2020. According to cointelegraph, Lee made this prediction during an interview with CNBC on April 28.
Just earlier this month, Lee was of the opinion that bull market is just about to take full upward push. This time he does well to state 11 signs as reasons for his prognosis.
Among those 11 signs, Lee stated that 3 of them - Blockchain, technical Indicators and trading volumes currently signify that the low tides for cryptos are almost over. The first sign of a possible moon season was back in January where trading volumes became positive at an annual rate while in April another sign popped when BTC went up and over its 200-day moving Average.
The Third sign he explained was that of Trading volumes. Lee claims that the trading volume is connected with over-the-counter brokers, and that the output is really important in determining how investors trade Crypto. Based on number of participating customers, activity level increased by 60-70% - Tom Lee.
“I think you’re seeing signs that fundamentals are improving, Technicals are improving, and now there’s real activity by, essentially, crypto hodlers. [...] So I think […] a 2.5 standard deviation move for bitcoin would take it to $14,000. I’m not saying that’s where it’s going to go, but that’s the magnitude of move that would be a catch-up.”
Some time in April, Lee mentioned that the "Bitcoin Misery Index" (BMI) -which he invented to inform investors of how 'miserable' BTC holders are based on the coin's price and volatility- in recent times have hit its biggest figures since mid 2016. Tom believes this to be a mixed signal adding that the implication of BMI reaching 67 is further proof that bitcoin's lowest bear market was $3,000.