Tom Lee Projects $250,000 Bitcoin, Warns of 2026 Market Turbulence

Tom Lee from Fundstrat maintains a $250,000 target for Bitcoin, predicting a turbulent year in 2026 for crypto adoption and risk assets.
Lee anticipates 2026 will seem like a continuation of the bull market that began in 2022, despite potential large drawdowns resembling a bear market.
He discusses three main challenges: new Federal Reserve dynamics, potential governmental influence on economic sectors, and ongoing adjustments in AI market positioning.
Expectations for the S&P 500 include possible drawdowns between 10% to 20%, with a strong finish by the end of 2026.
In crypto markets, a major deleveraging event on October 10 caused Bitcoin to drop over 35% and Ethereum nearly 50%.
While acknowledging these challenges, Lee views pullbacks as buying opportunities, not signals to sell.
Lee emphasizes the growing "usefulness" of crypto, noting blockchain's potential to reshape financial models, citing Tether's expected earnings as an example.
At the time, Bitcoin's price was $89,287.

Bitcoin price chart