Key Highlights
- Bitcoin (BTC) and Ethereum (ETH) have witnessed a tiny spike after the Federal Reserve announced the rate cut
- On December 10, the Federal Reserve lowered the funds rate by 25 basis points to a target range of 3.50%-3.75%
- Tom Lee stated that Bitcoin’s 4-year cycle is dead and the cryptocurrency market is now in a supercycle
On Wednesday, the biggest cryptocurrency, Bitcoin, reclaimed its $94,000 just a few minutes after Federal Reserve chairman Jerome Powell announced a cut in its key interest rate for the third time in a row.
On CNBC’s Squawk Box, the Fundstrat Chairman, Tom Lee, shared his view that Bitcoin is in a powerful “supercycle.” Lee stated that the traditional 4-year price cycle is no longer the primary driver. He mentioned that massive and sustained investment from institutions through spot Bitcoin ETFs has changed the market.
Earlier, he revealed that Bitcoin will reach $250,000 by the middle of 2026, by mentioning his expectations for liquidity from Federal Reserve policy.
Also Read: Bitcoin’s Brutal November: What’s Next for December?
