Fundstrat Global Advisors, the research firm known for its bullish Bitcoin bets, is at it again with the second forecast in a week leading up to one of the world’s biggest cryptocurrency conferences.
One Bitcoin could be worth around $36,000 by the end of 2019, Fundstrat’s Sam Doctor wrote in a report for clients Thursday, noting that the value of the top digital token could range from $20,000 to $64,000.
It traded around $9,300 on Thursday. The researcher’s call was based in part on the notion that improving cryptocurrency mining economics support price appreciation.
“Bitcoin miners verify and process transactions, supporting the network in exchange for mining rewards and transaction fees,” Fundstrat said.
“We argue that the Price/Miner’s Breakeven Cost multiple has proven a reliable long-term support level, and further, that the likely trajectory of future mining infrastructure growth should underpin Bitcoin price appreciation into year-end 2019.”
Fundstrat’s latest call comes three days after managing partner Tom Lee predicted the price of Bitcoin will rally during Consensus, a major virtual-currency conference next week in Manhattan that is expected to draw more than 6,500 attendees.
At the time, Fundstrat estimated that the top digital token will cost $25,000 by the end of this year, though its projections have varied substantially over time. The researchers forecast in January that Bitcoin would be worth $125,000 by 2022.