RE: Tom Lee on Binance Podcast … Bullish as Ever
Link to podcast in article in link below :
“FOMO really occurs when the price achieves a level that’s only happened 3% of the time. So in past cycles, that level was $8.50 in 2011. Today that number is $10,000 because Bitcoin’s prior to today has only traded above $10,000 for 87 days…
So we said once it achieves this level, every institution’s going to realize at $10K it’s likely to go back to its all-time high, which is a double. There are very few things that can double. So I think FOMO really gets triggered once Bitcoin hits $10,000. If you look at half cycles, when you get to that 3% threshold, the typical surge in the next five months is 200-400%. So if Bitcoin somehow manages to get to $10K, it’s very likely going to make a run to $40,000 within five months.”
“At the end of the day, Wall Street – if there’s a known asset class and they believe they can have an edge – they’re going to be quite interested in investing in it. Because Wall Street has the ability to marshall a lot of resources to develop either a fundamental edge or trading expertise and make money…
We published a piece that says what’s a way to quantify Wall Street FOMO? And the reason it matters is because when Bitcoin fell 85% last year, Wall Street basically said Bitcoin is broken and it’s going to zero. And they had good reason for that because 80% of stocks that fall 90% never recover. So in their minds, the probability of Bitcoin going to zero was essentially 80% because it had already fallen 85%. But now that Bitcoin is back to $8,000, it’s only traded at this level 5% of the days in its entire history.”
Bitcoin will replace the system as they know it.
