 
 
Bitcoin is headed for a sharp uptrend, according to crypto bull and Fundstrat Global Advisors Managing Partner Tom Lee.
Bitcoin could climb to $200,000 per coin by the end of this year, Lee confidently predicted during an interview on Monday.
$200,000 Bitcoin By Year-End Is “A Big Move”
Tom Lee told CNBC that the U.S. Federal Reserve’s much-awaited interest rate cut could be a key catalyst for Bitcoin and the broader crypto market. Risk assets like Bitcoin may enjoy a meteoric surge if the central bank cuts benchmark interest rates, as expected, during the next Federal Open Market Committee meeting on Sept. 17.
“Bitcoin and cryptocurrencies like Ethereum are super sensitive to monetary policy,” Lee, who is also the chairman of Ethereum Treasury firm BitMine Immersions, said. “I think September 17 is an important catalyst.”
He continued: “I think Bitcoin can easily get to $200,000 before the end of the year, and I know that’s a big move.”
 
Bitcoin was changing hands for $112,963 as of publication time, up 1.3% over the last 24 hours, according to CoinGecko data. The alpha crypto rocketed to a fresh all-time record last month before quickly reversing amid macroeconomic uncertainties.
Lower interest rates drive liquidity into crypto markets and are viewed as a significant macroeconomic catalyst for rising crypto prices and sustained bull runs.
Lee’s predictions about Bitcoin’s price have been mostly right, albeit his timeline has been mostly off. Case in point, back in 2018, the industry executive predicted that BTC would reach $125,000 by end-2022. The asset’s highest price that year ended up being around $47,700 before it slumped to as low as $16,000.
The Federal Reserve last year cut interest rates three times, resulting in price rallies in the Bitcoin price. But the central bank has refrained from cutting rates this year despite pressure from President Donald Trump, as the inflation has remained higher than the bank’s 2% annual target. The Fed’s reticence to act is probably due to concerns that Trump’s trade war could amplify inflation.
President Trump has rattled markets by publicly rallying against Federal Reserve Chair Jerome Powell for not slashing interest rates sooner. Trump even attempted to fire Federal Reserve Board Governor Lisa Cook, who has filed a lawsuit to challenge the move.
In August, Trump tapped economist Stephen Miran, who has been friendly toward crypto, to serve on the Federal Reserve Board of Governors.
Source: https://zycrypto.com/crypto-permabull-tom-lee-says-bitcoin-will-easily-go-to-200000-this-year/
