TL;DR
- Tom Lee says Bitcoin passed its toughest test by holding $70,000.
- Deleveraging in October 2025 was an unusual event, but it has now been resolved.
- Exchange withdrawal 29,000 $BTC Supports accumulated stories.
Tom Lee, an analyst at Fundstrat, told CNBC that Bitcoin has faced and passed the toughest test yet. Speaking on the sidelines of the Future Proof conference in Miami, Lee cited the weekend’s rally as evidence that the asset has regained its ability to function as an asset. Store of value during geopolitical stress.
Bitcoin held above $70,000 On the other hand, oil prices soared following Iran’s blockade of the Strait of Hormuz, but past cycles have been a combination of risk-off selling and asset declines.
Lee acknowledged that Bitcoin’s behavior during the massive deleveraging event in October 2025 showed weaknesses. During this period, gold rose while Bitcoin fell, re-igniting the debate about whether digital assets can truly serve as a safe haven.
His answer was direct. The deleveraging episode in October 2025 was the largest in the history of the virtual currency market.an event of exceptional magnitude that forced widespread liquidations regardless of underlying fundamentals. In Lee’s view, that chapter has already been closed.
Cryptocurrency market has already passed through a bear market
Mr. Lee painted a clear picture of the current state of the cycle. In his reading, the market has already absorbed the full correction on three simultaneous fronts: Software Stock, Magnificent 7, Cryptocurrency. This process removed much of the speculation and overleverage that had built up in the market during 2024 and early 2025. Removing that excessive leverage from the system will significantly improve the structural conditions for a sustained recovery.
On the stock side, Mr. Lee made the following predictions: March closing price is positive and pointed 5,300 for the S&P 500 However, he warned that a 20% drop could occur at some point, most likely when the market stops reacting positively to good news.
On-chain data partially supports his theory. At the time of analysis, Binance Research records approximately 29,000 withdrawals $BTC From the exchange Meanwhile, prices traded between $65,000 and $75,000. This pattern contrasts with the previous decline (when prices fell from $92,000 to $62,000), when exchange balances were rising, and was a classic signal of selling pressure. Reversal of exchange flows confirms the accumulation story Lee laid out from the stage in Miami.
At the end of the report, BIT coin traded at nearly $70,000which briefly reached $71,600 before falling just 0.2% in 24 hours. On a week-to-week basis, assets increased by 3% and in two weeks by nearly 7%, but still increasing. 12% below the previous year’s level and more 44% off October 2025 all-time high.
