Tom Lee Forecasts Bitcoin Could Surge to $250K by the End of the Year

Fundstrat’s head of research, Tom Lee, sees the recent bitcoin (BTC) correction as part of its normal volatility cycle, maintaining a bullish outlook for the year-end despite short-term price fluctuations.

Bitcoin has been trading between $90,000 and $100,000, creating a rollercoaster of investor emotions. After dipping below $90,000 on Monday, BTC bounced back on Tuesday, climbing above $96,500 for an 8% gain in a single day.

Speaking to CNBC, Lee described the 15% pullback from bitcoin’s all-time high as standard for an asset known for its price swings. “This type of correction is expected for an asset as volatile as bitcoin,” Lee said.

Glassnode data shows that this cycle’s pullbacks have been relatively mild compared to previous bull runs, where corrections often ranged between 30% and 50%. These smaller drawdowns highlight bitcoin’s increasing market maturity, according to analysts.

Lee identified $70,000 as a key support level, backed by Fibonacci retracement analysis. Should that level fail, he believes $50,000 could be the next major testing point. Fibonacci retracements, commonly used by traders, mark key levels at 23.6%, 38.2%, 50%, and 61.8% to gauge market trends.

Despite the recent turbulence, Lee remains confident about bitcoin’s long-term potential. He predicts it will remain a top-performing asset in 2025 and stands firm on his end-of-year target, projecting bitcoin could reach between $200,000 and $250,000.