Fundstrat’s Tom Lee believes bitcoin is a legitimate investment for the younger generation.

“I think as a store of value bitcoin makes a lot of sense,” Lee said on CNBC’s “Squawk Box” Thursday. “I think the advantage is bitcoin is uncorrelated to stocks, bonds and gold … It is actually good diversification.”

The strategist said acceptance of cryptocurrencies as an investment is not different than how previous generations adopted gold and the “baby boomers” helped drive the stock market rally in the 1990s.

“The millennials in the U.S. are driving this adoption and recognition that blockchain and bitcoin and sort of digital businesses is going to be a real asset class,” he added.

Lee predicted the price of bitcoin would rise to $11,500 on Nov. 22 when the cryptocurrency traded at roughly $8,000. The digital currency is trading at $16,634 Thursday, according to industry website CoinDesk.