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Bitcoin to hit DMA200 by August - Tom Lee

  • Fundstrat’s CEO believes that Bitcoin will recover in 2019.
  • The short-term technical picture remains uninspiring.

Fundstrat’s CEO Tom Lee, known as one of the hardcore Bitcoin bulls, believes that this year will mark the revival of the first digital asset due to favorable macroeconomic trends.

“I think 2019′s a year about repair. We have a risk-on rally in global markets that’s positive for bitcoin; it was a headwind last year. And the dollar isn’t surging like it was last year. That’s a headwind that’s gone away,”  he said in the interview with CNBC’s “Futures Now.” on Thursday.

Among positive fundamental developments, he mentioned the launch of digital coins by the world’s leading financial institutions like J.P. Morgan and Mizuho and growing Bitcoin popularity in economically troubled countries like Venezuela. 

These developments may increase cryptocurrency awareness and take us a step closer to mass adoption, according to Lee, who also believes that we are moving towards accepting virtual money as an official asset class. 

From the technical point of view, Lee suggested keeping an eye on DMA200 (currently at $4,876). Bitcoin will cross it by August if the current momentum is maintained, according to the expert.

Meanwhile, BTC/USD is changing hands at $3,859, unchanged from this time on Thursday. Yesterday’s attempts to break free from the range failed sooner than the market realized what was going on. 

At the end of the day, we are left with $3,900 resistance and $3,700 support that strangle Bitcoin movements for the time being.

BTC/USD, the daily chart


 

Author

Tanya Abrosimova

Tanya Abrosimova

Independent Analyst

 

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