Tom Lee lowers forecast for Bitcoin, but still sees a new high by the end of the year

Source: PortaldoBitcoin Original Title: Tom Lee lowers Bitcoin forecast, but still sees new high by the end of the year Original Link: The chief strategist of Fundstrat, Tom Lee, revised down his forecast for the price of Bitcoin by the end of 2025, after what he described as a true “armageddon” in the crypto market that occurred on October 10. Despite this, he still believes that the asset can renew its price record this year.

In an interview published on Wednesday (26), Lee explained that the October event — a pricing error that triggered automatic liquidations – led several entities to bankruptcy.

“Cryptocurrencies experienced what I would call an armageddon, you know, a sudden event that led [the market] to an unprecedented liquidation in the 15-year history of Bitcoin. About a third of market makers went bankrupt that day. Almost 2 million accounts went to zero,” said Lee.

According to him, the high level of leverage that had propelled Bitcoin to $126,000 also made the market vulnerable to a cascading drop. “Crypto has always been a very accurate gauge of risk appetite, but now that leverage has been swept away,” he stated.

Lee believes that the sector is close to a bottom, but emphasizes that, unlike previous cycles, Bitcoin is not expected to lead the recovery: “Now it is artificial intelligence that is driving the markets.”

With this, the analyst acknowledged that his previous projections — which pointed to $100,000 to $150,000 still this year — need to be adjusted. However, he does not rule out a significant recovery: “I think it is very likely that Bitcoin will still be above $100,000 before the year ends.”

For Lee, despite the turbulence, the resilience of the markets remains evident: “We had five years of history compressed into one. But a new record is still possible.”

Bitcoin today

The price of Bitcoin has risen again above $91,000 this Thursday (27), after two difficult weeks that led many cryptocurrency investors and analysts to point to the beginning of a bear market.

Bitcoin surpassed the $90,000 barrier yesterday afternoon and, this afternoon on Thursday, it is trading at $90,770, up 4.3% on the day. In reais, the asset's price is R$486,609.