Thomas Lee has pointed out that Ethereum has been largely range-bound since 2021. The asset has gained 22% over the past month, but remains down 10% on the year.
However, that could all be about to change due to the rise of stablecoins and Wall Street tokenizing real-world assets, which is “driving up demand for ETH,” and will result in upsides, he said on Tuesday.
Lee’s projection puts ETH way beyond its 2021 all-time high of around $4,880 over the next couple of years.
Ethereum About to Breakout
Head of Digital Assets for Fundstrat Sean Farrell has observed that transaction activity is picking up on Ethereum, said Lee.
Ethereum is also set to benefit from a general rise in risk appetite, he noted, adding that Federal Reserve rate cuts, expected later this year, will lead to increased liquidity, which is positive for risk assets such as cryptocurrency.
Meanwhile, PayPal co-founder and venture capitalist Peter Thiel has taken a 9.1% stake in Tom Lee’s BitMine as the Ethereum treasury momentum builds, according to an SEC filing .
“ETH is going so much higher, and thank you for all the work you’re doing to communicate that to your peers,” commented ‘DeFi Dad,’ who predicted that the asset would top out at between $15,000 and $30,000 this cycle.
“One of the best-looking charts right now is Ethereum,” commented trader and analyst ‘Income Sharks,’ who suggested prices would reach $5,000 by September.
“No matter what anyone says, Ethereum is going to explode,” opined investor ‘CryptoELITES,’ who predicted that it would reach $10,000.
‘Merlijn The Trader’ said, “Ethereum’s chart is screaming breakout,” observing a triple bounce from RSI, an intact macro channel, and months of “price coiling.”
ETH Price Pumps
Ethereum prices have climbed 5.7% on the day to reach a five-and-a-half-month high of $3,140 during the Wednesday morning Asian trading session. It is the highest that ETH has traded since early February.
Ethereum has surged almost 30% over the past fortnight, outperforming the wider crypto market after more than a year in the doldrums. However, it still has a long way to go and remains below the July 2024 price of $3,500.
Institutions are driving momentum, and retail has yet to join the party, as Ether ETFs have seen more than $1 billion in inflows over the past week, and ETH treasury companies have stacked more than $1.6 billion worth over the past month.
