Tom Lee: The crypto market is dragged down by deleveraging; the parabolic rise of cryptocurrencies usually follows closely behind precious metals.

According to Mars Finance, on January 24th, Tom Lee, Chairman of BitMine and co-founder of Fundstrat, stated in an interview with CNBC, "Cryptocurrencies have always been affected by deleveraging. The '1011' crash impacted the market; it was the largest deleveraging event in cryptocurrency history. Then this week, cryptocurrencies were performing well until the 'Greenland' statement triggered volatility in Japanese government bond yields and further deleveraging in cryptocurrencies. So I think, unfortunately, cryptocurrencies should have followed gold's trend to some extent, but the effects of deleveraging must be removed, and I think that's what's really affecting cryptocurrencies. I think cryptocurrencies are still very important as a settlement layer, but it's more about smart blockchains; that is, it's more of an Ethereum story relative to Bitcoin. Bitcoin has recently been hit by some shocks because of concerns that quantum computing could steal or compromise one-third of old Bitcoin wallets. I don't think the Bitcoin story is broken. It's just waiting for regulatory clarity, and institutional adoption is growing. So, I still don't think $200,000 for Bitcoin is that crazy. It's just a price doubling. Historically, parabolic rises in cryptocurrencies have often followed parabolic rises in precious metals." So, unless it doesn't happen in the next few years, I don't think this is a story that's already over.