Tom Lee of Fundstrat Global Advisors has predicted that the upcoming Consensus conference will catalyze a fresh wave of rallying in the price of Bitcoin. He asserted this in a note to clients, stating that Bitcoin is set for another significant bull run once Consensus begins. The Fundstrat analyst believes the number one cryptocurrency is perfectly poised for such a run given the temporary wobble in Bitcoin prices heading into next week’s conference. The value of Bitcoin has fallen slightly to below $9,300 at the time of writing this article. Bitcoin is currently on a three-week high where it has posted consecutive gains at the end of the week. This growth comes after a difficult start to 2018 when prices fell below $6,000 in early February.
Consensus and Bitcoin Prices: A Historical Perspective
Lee is basing his prediction on the behavior of Bitcoin prices in the immediate aftermath of the annual Consensus summit. There appears to be a relationship between the occurrence of the gathering and increase in the price of Bitcoin. With the 2018 edition expected to be even bigger than previous years,’ the impact on Bitcoin might be even more profound.
More than 4,000 people are expected to attend the conference which is double the 2,750 that participated in the 2017 edition. According to Lee, whenever the attendance doubles from one year to another, Bitcoin prices usually rally in the aftermath of the meeting. In 2017, attendance figures rose by 100 percent from the previous year creating a significant buzz around Bitcoin and the crypto market. The price of Bitcoin shot up by 69 percent during the gathering and increased by a further 138 percent within the next couple of months. If history repeats itself, then Bitcoin prices might push on towards the $20,000 mark.
The Coindesk Consensus Summit is in its fourth edition which helds every year, and the 2018 iteration will take place at the Hilton Midtown from the 14th to the 16th of May, 2018. Leading experts in the industry will be expected to deliver lectures and keynote addresses to participants. The conference is one of the most popular on the blockchain summit calendar and usually sets the tone for much of the year as far as the industry is concerned. About 275 speakers are expected to be at the event.
In a related development, Lee has also suggested that part of the marginal slide in Bitcoin prices can be attributed to the emergence of regulatory uncertainty over the status of coins like Ethereum and Ripple. There have been reports that these cryptos may be classified as securities and this has led to a dampening of enthusiasm in the market. While the consensus is that Bitcoin has nothing to worry about regarding its status, the general air of reticence in the market might be affecting the number one cryptocurrency.
Tom Lee continues to be unmoved in his bullish assertions concerning Bitcoin and the crypto market. Earlier in the year, he predicted that Bitcoin would attain the $20,000 by the middle of the year and even reach $25,000 by the time 2018 comes to an end.