The managing partner of the Fundstrat Global Advisors Lee predicts that Ethereum can reach $ 5,500 in the coming weeks and $ 10,000 to $ 12,000 by the end of the year.
The accumulation of hundreds of thousands of ETH in the BITMINE treasury and the growing deficit of the supply in the market are concerned. Investors begin to expect a significant breakthrough of Ethereum in the near future.
New forecasts for Ethereum
In a recent interview with Tom Lee, who is also the chairman of Bitmine, caused a stir in the community by his statement. He predicted that Ethereum can reach $ 5,500 in just a few weeks and rise to $ 10,000–2,000 by the end of the year. This is not just another optimistic forecast. This is a statement of an influential figure associated with a large -scale Bitmine strategy for the ETH treasury.
Lee explains his forecast with two key factors. Firstly, institutional purchasing power is growing (through ETF, Steering and Corporate Treasury). Secondly, the Ethereum offer is becoming more scarce.
At the institutional level, Bitmine aggressively accumulates ETH. The data show that Bitgo translated 95,800 ETH from his caste -dedicated wallet into six new wallets, allegedly related to Bitmine. Active accumulation allowed Bitmine to increase its Ethereum reserves to billions of dollars. As a result, the company has become the largest eth treasury in the world.
The threat of deficiency hung over ETH
When such a large organization consistently accumulates assets, this affects the balance of supply and demand. Many onchain analysts warn that Ethereum is approaching the “proposal deficit”. Balance on exchanges fall to a record low levels. Meanwhile, the amount of ETH blocked in stake and burned through the EIP-1559 continues to grow.
Analysts also monitor the ratio of ETH/BTC. Many expect this pair will soon violate the trend installed in 2017. Such a breakthrough can be the beginning of powerful growth with targets in the range from $ 10,000 to $ 15,000. This further strengthens the confidence of Tom Lee in the fact that Ethereum can be on the threshold of an unprecedented rally.
However, these forecasts for Ethereum should be considered as possible scenarios, not guarantees. To achieve such levels, it is necessary that several factors coincide. This is a steady influx of institutional investments, a favorable macroeconomic situation without significant pressure on the liquidation and, most importantly, the lack of sudden shocks of liquidity due to large wallets that record profits. As the Beincrypto editors recently reported, 98% of the ETH offer is now in profit, which is fraught with a possible sale.
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Source: Cryptocurrency
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