Fundstrat’s Thomas Lee has lowered his Bitcoin price forecast for this year to $20,000 from $26,000.
In making his case the co-founder and managing partner of Fundstrat argued that the price of Bitcoin should be double that of the flagship cryptocurrency’s mining costs. With the mining cost of Bitcoin currently at US$9,600
00 according to Lee, doubling this cost while including other variables should see the price of the cryptocurrency reaching US$22,000 before the end of December 2018.
Zimbabwe’s Crypto Troubles
John Mangudya’s comments represent another example of how cryptocurrencies fall victim of arbitrary measures imposed by policy makers and regulators that are not quite qualified. The decisions of the central bank in Harare have had serious implications for Zimbabwe’s nascent crypto sector which was offering a way out of some of the country’s financial woes.
In early May, the Reserve Bank of Zimbabwe issued a circular to commercial banks, instructing them to close all accounts of crypto firms within a two-month period and banning crypto trade. With another directive, released on May 27, the central bank ordered the country’s first and leading crypto exchange, Golix, to cease all operations immediately. On the 22nd, Golix referred to the High Court requesting the lifting of the ban. The exchange was only granted interim relief, despite previous reports of the ban’s reversal.