Tom Lee Talks Massive Bitcoin Price Drop, Claims It Confirms Fundstrat's "Unpopular" Theory

Libra Coin News
Wed, 09/25/2019 - 18:13
Alex Dovbnya
Fundstrat co-founder Tom Lee believes that there is a correlation between Bitcoin and the US stocks
Cover image via U.Today

Fundstrat boss Tom Lee has finally weighed in on Bitcoin’s massive price drop that sent shockwaves around the cryptocurrency community.

In a recent tweet, Lee reiterates his earlier prediction that BTC will hit a new ATH, but only if the US equities market achieves a similar feat.

Financial Commentator Compares Bitcoin to Apple "When It Was on the Edge of Going Bust"

Bitcoin crashes in tandem with stocks

While Bitcoin is generally considered to be an uncorrelated asset, the fact that its price tanked right after the stock market adds legitimacy to Lee’s words. eToro analyst called it  “a really strange coincidence.”

The theory that Bitcoin is correlated to the stock market is quite controversial. Cryptocurrency expert Alex Krüger insists that the most recent bump in the road doesn’t have anything to do with the stock market crash.

Bitcoin Price Is Likely to Hit $7,000 Again, Alts Will See New Yearly Lows: Trading Expert

Speculations over safety

As reported by U.Today, Lee claimed that Bitcoin is ambidextrous because it can perform well both in risk-on and risk-off environments.

However, its recent 15 percent plunge proves that the cryptocurrency that started it all is nowhere near reaching the proverbial “safe haven” status.

About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with an extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets.

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