Bitcoin and crypto bull Tom Lee says XRP is performing exceptionally well in the current cryptocurrency climate.
In a new interview on CNBC’s Squawk Box, Lee offered XRP as an example of a digital asset that’s offering a safe haven for investors in the current bear market.
“Part of the sell-off in Bitcoin has been this contentious hard fork in Bitcoin Cash… some of these larger alts have held up great like XRP – relative to Bitcoin – is actually starting to break out.
And XRP is a token that’s really used for cross-border settlements. But it’s held up great.”
As for what will spark positive momentum in the broader crypto market, Lee says institutional money is still the most likely trigger for growth on the horizon.
“The next wave of adoption is institutional. They’re not necessarily getting hurt here. So there is a crossover happening. This is just an awkward transition.
I think you will get it partly through infrastructure like Bakkt, which is launching soon. But part of it’s going to come from regulatory clarity, and I think part of that is underway now. I think once we have that, institutions will feel a lot more comfortable taking bets.”
According to Lee, Millennials, who have a well-known distaste for banks and affinity for everything digital, will drive adoption of cryptocurrencies.
“I think that digital assets are going to be relevant in a world where growth is increasingly digital. So to me, Bitcoin is a real bet on a project where we have 50 million wallets – there’s five billion Visa cards. And so I think the runway is really adoption in the future by Millennials.”
Lee says he’s standing by his revised prediction that Bitcoin will hit $15,000 by the end of the year, although he admits the clock is ticking fast.
