Respected Wall Street analyst Tom Lee is forecasting that Bitcoin’s (BTC) price will rise to $250,000 U.S. by the end of 2025.
Lee, who is co-founder and head of research at boutique financial firm Fundstrat, sees a near-term correction in crypto that could take Bitcoin’s price down as low as $70,000 U.S.
However, Lee remains bullish on Bitcoin and has set a year-end target for its price of between $200,000 U.S. and $250,000 U.S.
The bullish year-end call comes as Bitcoin fell below $90,000 U.S. on Jan. 13 before quickly rebounding and rising to $96,500 U.S.
In an interview with CNBC, Lee described the volatility in Bitcoin and other cryptocurrencies as “normal” and said regular corrections of 10% or more in prices should be expected.
Lee added that pullbacks in crypto prices usually occur before digital assets rally to new highs.
According to Lee, $70,000 U.S. is a strong support level for Bitcoin and is likely as low as the largest crypto by market capitalization will fall before forming a bottom and rallying upwards.
Despite a short-term correction, Lee still thinks Bitcoin will be one of the standout assets for 2025 and remains bullish on crypto.
Catalysts for cryptocurrencies in the coming year include a favorable regulatory environment under the administration of U.S. President Donald Trump, and a continued rally in equities.
Bitcoin rose 120% in 2024 and hit a new all-time high of nearly $110,000 U.S.
