Tom Lee Says Bitcoin ‘Isn’t Broken.’ Actual Events Prove Him Right

[seje]

Despite the sharp fall in Bitcoin (BTC) last week, Tom Lee, CEO of Fundstrat, is still spreading his strong bullish sentiment. In an interview for CNBC, Mr. Lee commented that Bitcoin (BTC) still had enough reasons to increase its value and that in fact, in the middle of the bearish market, there are signs to show that it is clearly the king of cryptocurrencies.


Tom Lee on a previous interview, explaining why the gap between BTC (BTC) actual prices and 200 MA is a bullish signal
According to Mr. Lee, even after the overall bearish trend, Bitcoin’s dominance increased in proportion, which is a clear indicator of investors’ confidence in Bitcoin’s strength and its potential as a real and verifiable asset.

 

He also believes that although last week’s news fueled a robust bearish run, the announcements may actually have attracted investors with a more strategic and long-term business plan.

The news that we have seen, from the SEC saying bitcoin’s a commodity, to … the potential for an [exchange-traded fund] is causing investors to decide that bitcoin is the best house in a tough market,

Long-Term vs. Short-Term
It is important to note that short and long-term trading strategies are very different, even becoming contradictory at particular times. For example, a scalper can profit by shorting bitcoin while having a stronger amount of bitcoin (BTC) in a long-term bullish position. Although a market may be bearish on charts of less than 4 hours, the picture may be completely different on charts with candles expressing longer periods of time.

After a relatively sustained drop that led Bitcoin to reach values below 6k (an important resistance during 2018), Bitcoin had a steady rise of more than 2k USD approaching the 8.4k mark just a few days ago. However, following the SEC’s announcement to reject the application for a Bitcoin ETF and the recent delay on another application, the crypto market experienced a sharp decline.

Tom Lee: “Bitcoin isn’t Broken”
However, for Mr. Tom Lee, these kinds of ups and downs are healthy, and are by no means a sign of weakness for Bitcoin (BTC) as it has repeatedly tested the 6k support:

Bitcoin isn’t broken if it’s holding at these levels. I think people are afraid it is going to go back down to $6,000 and never come back from those bear markets … I think bitcoin dominance is actually showing the market is reacting to what’s been taking place.

Generally, in these volatile markets, the social impact of many news can often lead to exaggerated reactions. Both FOMO and FUD are social phenomena that have become very famous in crypto-verse, especially among short-term traders.

A Green Future Coming After The 6K?
Right now, Bitcoin (BTC) has tested once again the 6k USD support, bouncing to 6.5k USD in price with a nice panorama in the short term. Next “soft” resistance is near 6.9k USD, with a stronger test zone around 7.5K USD


https://ethereumworldnews.com/tom-lee-bitcoin-isnt-broken/

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[FedorIzmailov]

all will be well believe me. those who survive and endure now this will all work very well in the future

[Trendytagr]

More and more big companies decide to adopt Bitcoin. People see a great opportunity in it and the technology is developing. Everything will be fine.

[burky155]

Bitcoin can't broken all we know that actually. It came from "0" ten years ago and hitted the $20.000 limits last year. But then it started to fall and came $7.000 limits but never fades. We should all understand that bitcoin will stay and will grow again and again. WHO doesn't believe this must will be loose in crypto business..

[crazymelons12]

I believe him. Bitcoin will survive all these pressure right now. So many are talking about its end which I think is not the case as we could observe that bitcoin is still even at the top of all other cryptocurrency. Even ethereum had the chance of surpassing bitcoin during this bad market but not even other coins nor ethereum who ranked always second have not been able to dethroned it. Notice its dominance and rethink. Bitcoin will still be the king of cryptocurrency and soon it will go up again in price.

[davis196]

More and more big companies decide to adopt Bitcoin. People see a great opportunity in it and the technology is developing. Everything will be fine.

I don't see any big company that wants to adopt bitcoin core.Perhaps most the big companies will adopt that new Bakkt version of bitcoin.With or without Tom Lee's "expert" opinion bitcoin isn't broken for sure.It's just a sleeping giant.We just have to wait one or two years for the next bitcoin hype wave to arrive.

[jseverson]

Who says it was ever broken anyway? I mean, I guess the bear market kind of sucks, but its utility is as solid as ever. It's also remains a great long term investment considering the fact that the technology is still in its infancy, and we now know that even the possibility of an ETF launching in the US can drive up prices by a couple of thousands.

Meanwhile, the Lightning Network is slowly getting better:

https://bitcoinist.com/lightning-network-3000-nodes-capacity-100/

Bitcoin is the exact opposite of broken. I don't know when the "Green Future" the article is talking about is coming, but I know it is, and it's coming up huge.

[BrewMaster]

both your choice of title and the board you posted this in are wrong.

this is purely talking about the price and nothing else! it has nothing to do with bitcoin being broken or not. and it consists of speculation of a known bullish person in bitcoin. although i agree with most of what he said regarding price and the bottoms but i still think his expectations are somewhat unrealistic because of the short time frames that he has said so far.

[mk4]

The only people who are saying bitcoin is "broken" are the ones who went in just to solely make money(and lost a big percentage because they went in on late December-January) anyway. If bitcoin worked at single digit prices I don't get why it wouldn't work at $6500 or lower.

[vy99]

Although a market may be bearish on charts of less than 4 hours, the picture may be completely different on charts with candles expressing longer periods of time.

This is the most important point that will go over the heads of many people. You can't just look at this in the short term, over a longer period Bitcoin is still performing very well.

[Bitocek100000]

I agree with Tom Lee that Bitcoin is the king of cryptocurrency. After the news from the SEC, I thought now bears would reach 5000$, but to my surprise, they couldn't. Now I'm sure when the Etf will be approved in September we will see last year's growth.

[coinwizard_]

The technology and demand will be here for a long time, i dont see any reason why it would break just because the price hasn't pumped yet. New bigger and better projects are being released all the time, this is just the beginning

[Kakmakr]

Bitcoin is far from being broken, it is just relaxing it's muscles for the next set of push ups.    If it went down all the way to $1000, from
where it started last year, then I would be worried, but until that time, I am very confident that it would bounce back again. There are too many people looking at the short-term gains and they forgot where we were a year ago. 

Keep your eyes on the long-term goals and you will line up with what Tom Lee is saying. 

[mk4]

I agree with Tom Lee that Bitcoin is the king of cryptocurrency. After the news from the SEC, I thought now bears would reach 5000$, but to my surprise, they couldn't. Now I'm sure when the Etf will be approved in September we will see last year's growth.

Don't be too excited there m8. Just because we didn't drop to $5000 yet it doesn't mean it can't in the next few months. It's definitely still possible. All the market needs is more sellers than buyers then say hello to $5000. I hope not, though.

[Kemarit]

I agree with Tom Lee that Bitcoin is the king of cryptocurrency. After the news from the SEC, I thought now bears would reach 5000$, but to my surprise, they couldn't. Now I'm sure when the Etf will be approved in September we will see last year's growth.

We can't say that for certain. As far as I know we are still in the bearish trend so don't celebrate it yet. As I have been saying, I have mix emotions on Bitcoin ETF. Regarding Tom Lee's statement, perhaps its just wrong choice of words. It isn't broken, we have seen this one before and we conquer it. So its either you do short bitcoin (which is not advisable) or really hold on it long term to maximize your profits.

[LFC_Bitcoin]

Anybody not buying now is quite frankly a fucking idiot. You’ve all seen the heights that bitcoin can reach during a genuine bull run. We hit nearly $20,000 just last year. Now imagine what a load up good news added to the effects of the next halving & you have MOON.

Buy what you can afford to now & HODL.

Trust me!