Analyst Predicts Bitcoin Could Mirror Gold’s Recent Surge

- Tom Lee says Bitcoin is ready to rise after market deleveraging suppressed recent price action.
- Lee believes BTC has room to catch up with gold as a strong alternative to the U.S. dollar.
- Despite easing tariffs, market risks remain as Fed policy and inflation continue to weigh on sentiment.
With Bitcoin inching higher, market observers compare the digital asset to gold, predicting that it will follow the metal’s path and gain an upward movement. In a recent interview, Tom Lee, the managing partner at Fundstrat, stated that Bitcoin would soon be on par with gold as the deleveraging phase has subsided. The comment comes as gold attained its all-time high (ATH), trading at nearly $3,430 per ounce, and is expected to touch $4 shortly.
Further, Bitcoin showcased strong movement this week, climbing more than 4% since last Wednesday, briefly trading above $87,700. Although it dipped slightly, it remains above $87,100. Lee argued that Bitcoin was earlier suppressed due to increased institutional selling pressure.
Lee described the current phase as past “peak uncertainty,” and warned that markets haven’t felt “maximum pain” yet. Further, the stock market faced a dip on Monday amid ongoing global tension and economic concerns. With the decline, the S&P 500 dropped 2.96%, the Nasdaq fell 3.28%, and the Dow Jones declined 2.84%, while the Treasury yields increased.
These factors point to Trump’s pause over the tariffs and his calls for reducing interest rates. Although the pause had provided slight relief, the market sentiment still remains fragile, Lee pointed out. Further, investors continue to watch the Federal Reserve’s response to inflation and growth data.
UBS strategist Evan Brown stated that tariff risks have lessened, but inflation remains the central challenge. He further pointed out that the Fed Chair Jerome Powell would be maintaining a hawkish stance until economic weakness becomes clear.
Related: Golden Cross Ahead? Bitcoin Signals Major Trend Shift
Meanwhile, Lee stated that Bitcoin is bullish, highlighting the growing demand for alternative payment beyond the U.S. dollar. Lee issued these remarks after weeks of market turbulence among both equities and commodities. Investors have scrambled to adjust to new policy signals, inflation data, and global trade friction. As gold leads the safe-haven narrative, Bitcoin is preparing for its breakout.
The post Analyst Predicts Bitcoin Could Mirror Gold’s Recent Surge appeared first on Cryptotale.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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