Tom Lee, a prominent figure in the cryptocurrency space, said that the launch of the Bitcoin exchange-traded fund (ETF) was a major catalyst for increasing the price of Bitcoin. These ETFs are significant in that they make it easier for ordinary people to invest in Bitcoin through their usual investment accounts.
ETFs: Making Bitcoin Accessible
ETFs are becoming increasingly popular with major institutions pouring money into this investment vehicle. This surge marks a return to confidence in the market following the setbacks of 2022, most notably the collapse of FTX.
However, Tom Lee sees this as a great development because it opens Bitcoin up to a wider audience and eliminates the need for individuals to deal with technical aspects such as private key security.
He also highlighted the notable event of Twitter’s Jack Dorsey wearing a “Satoshi” shirt at the Super Bowl, putting Bitcoin in the limelight at one of the year’s major events.
Lee’s bold prediction
Bitcoin price above $50,000 is making people realize an interesting fact. What this means is that the general correlation between the number of times people talk about Bitcoin and price increases is not as strong as it used to be.
This suggests that the actual use of Bitcoin by large investors may now be more important than what people say about it online.
In a recent TV interview, Tom Lee made a bold prediction about Bitcoin’s price trajectory. He predicted a rise to $150,000 within the next 12 months, with bold potential for a surge to $500,000 within five years.
Factors driving Bitcoin’s rise
Lee believes the price of Bitcoin will continue to rise because the amount of Bitcoin available is limited and more and more people want to get their hands on it.
Despite risks such as a possible economic downturn, Lee believes Bitcoin’s future is bright due to changes in the way the economy works and how governments use money.