Tom Lee: Bitcoin will be $11.5k by mid 2018

New forecast from the Fundstrat Global Advisors co-founder
23 November 2017   468

Thomas Lee, Managing Partner and Head of Research at Fundstrat Global Advisors, has significantly improved his price forecast for bitcoin. Now analyst from Wall Street is confident that by mid-2018, the price of BTC will grow to $ 11.5 thousand, although in August he spoke only about the mark of $ 6000. This is reported by CNBC.

So, a few weeks ago Lee's forecast was relatively neutral - then bitcoin stopped around $ 7400. The analyst noted that the crypto currency hold "too many weak hands", because of which there was a probability of a sharp drop "from the slightest turbulence". As a result, he designated $ 5,500 as the level at which you should buy bitcoin. Recently, the BTC really dropped to $ 5,600, which, according to Lee, cleared the market of uncertain players.

A few weeks ago, we turned short-term neutral on bitcoin as the price level then (~$7400) exceeded our estimate of fair value," Lee wrote in the report. "Last week, Bitcoin fell to $5,600 and since then rebounded. In our view, this move to $5,600 cleaned up weak hands and we no longer feel caution is warranted. … We recommend steady buying of Bitcoin at these levels.

Thomas Lee

Managing Partner and Head of Research, Fundstrat Global Advisors

As a result, the financier increased his forecast for the middle of 2018 from $ 6000 to $ 11.5 thousand - almost 40% higher than the current BTC rate. In addition, Lee is optimistic about the future appearance of bitcoin futures. Like many others, Fundstrat analyst is confident that transactions with derivative instruments based on crypto currency will strengthen confidence in bitcoin and contribute to the growth of the number of potential users.

SEC Suspends Trading in 3 Companies

On Friday The U.S. Securities and Exchange Commission temporarily suspended the trading of three companies as they made the purchase of cryptocurrency and blockchain-related assets
17 February 2018   121

According to the announcement, the trade of  Cherubim Investments, Inc., PDX Partners, Inc., and Victura Construction Group, Inc. will be suspended between 9:30 a.m. EST Friday and March 2. The notice was dated Feb. 15.

SEC stated that its trading suspension orders state that recent press releases issued by CHIT, PDXP, and VICT claimed that the companies acquired AAA-rated assets from a subsidiary of a private equity investor in cryptocurrency and blockchain technology, among other things.

The release also indicates additional reasons for the suspensions. The agency’s orders also say there are questions regarding the nature of the company's business operations. In case of CHIT, the Commission suspended trading in the securities because of its delinquency in filing annual and quarterly reports.

In August 2017, the SEC  issued a warning for investors about the companies that may publicly announce ICO or coin-related events to affect the price of the company’s common stock.

Fraudsters often try to use the lure of new and emerging technologies to convince potential victims to invest their money in scams. 

U.S. Securities and Exchange Commission