Bitcoin price analysis: BTC/USD is down 5% on daily basis, but Tom Lee still believes in $25,000 by the year-end

Bitcoin is changing hands at $6,359, off the recent low reached at $6,279. The coin is down 5% on daily basis with the market value reduced from $115.5B on Tuesday to $109.6B on Wednesday amid global sell-off of digital assets. 

Meanwhile, Tomas Lee, the head of research in Fundstrat Global Advisors, sticks to the optimistic forecasts that have earned him a reputation of one of the most outspoken bulls on Wall Street. He believes that Bitcoin will reach $25,000 by the end of the year, which is more than 270% above current levels. He bases his outlook on the fact that Bitcoin usually trades at 2.5 time its mining costs, which will reach $9,000 by year-end. 

Bitcoin's technical picture

Bitcoin got back below $6,483 handle, which is important Fibo retracement level.  It is a negative signal confirmed by the fact that the coin stays well below all intraday MAs (1-hour chart). The local support comes at $6,300, followed by $6,000. Once it is cleared, the sell-off may be extended to $5,800.  The upside is capped by $6,566 (50-SMA, 1-hour chart) and $6,611 (100-SMA)

BTC/USD, the 1-hour chart