Thomas Lee, a cryptocurrency enthusiast and overall big fan of the technology and asset class, believes that Bitcoin will move significantly forward this weekend thanks to the Federal Reserve potentially cutting interest rates next week due to the trade war between the United States and China, reports The Merkle.
An Unlikely Claim
Of course, while we would all love to see Bitcoin’s price increase, it doesn’t look like anything will happen regarding a significant shift this weekend. And, of course, this is only one of many bold claims that cryptocurrency enthusiasts make all of the time.
It’s near impossible to predict Bitcoin’s volatility. You never know, sometimes a whale could buy Bitcoin worth tens of thousands of dollars, and the same can happen when it comes to selling as well. While technical analysis helps, it isn’t ever a surefire thing.
Essentially, the man’s claims are based on the idea that the upcoming, potential Federal Reserve cuts will push United States citizens to move into Bitcoin. While this could affect the world economy in a variety of ways, there isn’t any certainty that this will move into the cryptocurrency industry.
On top of this, Lee claims that these changes could make it so the United States dollar exchange rate with Bitcoin is only weaker. That said, a falling dollar doesn’t convert to a rising crypto asset.
As of Saturday night U.S. time, this so-called change doesn’t show any signs of happening. Bitcoin has made some movements, but in the downward direction. While there hasn’t been anything drastic, it’s unlikely that a positive reversal will happen within the next day.
It’s just as unlikely that anybody will take Lee’s prediction very seriously, either. Of course, the claim is still possible, but investors should instead pay attention to what’s going on in terms of analysis and other spaces and base their online trading on that instead of relying on one man’s word.