Fundstrat Global Advisors just published a new piece by Tom Lee, Managing Partner. Is this piece, Mid-year Review, Tom discusses the probabilities of Bitcoin reaching an all-time high in next two quarters. Please keep reading the bullet points I have added below.
– As we moved through 2019, many of these headwinds indeed turned into tailwinds. Macro factors such as strong USD (+9% in 2018), EM stocks (down 27% in 2018) and central banks (hawkish to dovish) reversed and have become powerful factors supporting interest in low/non-correlated assets like digital currencies.
– Institutional infrastructure is vastly improving and better connectivity taking place. CME Bitcoin futures are gaining traction and according to their latest report, have >50 active institutions trading this contract. Volumes have grown such that CME is one of the largest exchanges for Bitcoin trading. Bakkt is set to launch its network in July (somewhat slower than what was initially expected which was 2018) and will offer institutional investors the ability to purchase 1-day physically settled bitcoin.
Tom also discusses the Bitcoin ETF, the US regulatory picture and so many other areas that truly makes Fundstrat research the best on the street. Please reach out to Fundstrat and look through their offering across equity and crypto.