Tom Lee: Bitcoin Price Prediction Reaches IDR 2.4 Billion
JAKARTA - Tom Lee, founder of Fundstrate, recently revealed the reasons behind Bitcoin price predictions in his appearance on the 'Odd' Lots podcast. According to Lee, Bitcoin is a unique asset because it has a different cooperative value from other asset classes.
"Bitcoin is different from other asset classes because there is a cooperative value. Those who contribute to the network benefit from it, and that's different from other asset classes," Lee explained.
Lee recalled that his company first wrote about Bitcoin in 2017 when it cost around 1.000 US Dollars (approximately IDR 16.3 million). At that time, Fundstrate published a white paper explaining that there were two main variables determining the price of Bitcoin: the number of active wallets and activity per wallet.
At the time, we made a simple projection. We say that in five years, in 2022, if the number of wallets rises 70% and the activity per wallet increases 40%, the price of Bitcoin will reach 25,000 US Dollars by 2022," Lee said.
Lee, known as permabull, called Bitcoin an "extraordinary technology" because of his security that had not been hacked during his 14 years of existence. Not a single entry in Bitcoin's ledger was fraudulent," he added. However, more than 80% of the price movement of Bitcoin is still explained by activity per wallet.
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As reported by U.Today, the Timmer Jury of Fidelity suggested that the unsatisfactory growth of Bitcoin networks could be the reason why these crypto assets have failed to record highs in recent months.
On Monday, the crypto king slipped below the level of 60,000 US Dollars (approximately IDR 982 million) for the first time in more than a month, hitting an intraday low of 59,863 US Dollars (approximately IDR 980 million), according to data from CoinGecko.
Recently, Lee emphasized the Bitcoin price target he had previously conveyed, namely 150,000 US Dollars (around Rp2.4 billion). This prediction reflects his confidence in Bitcoin's long-term potential despite short-term price fluctuations.