Tom Lee: “Ethereum is facing a massive flood of capital”
- Since the beginning of April, the Ethereum price has increased by an impressive 130 percent. But according to Tom Lee, chairman of the ETH treasury firm BitMine, this was just the beginning for the second-largest cryptocurrency.
- At Token2049 in Singapore, Lee first reiterated his thesis that Ethereum is “on the verge of a supercycle.” He added that a “massive institutional capital influx” is to be expected, as only 0.1 percent of institutions have invested in ETH so far.
- Treasury firms would also benefit because TradFi investors cannot invest directly in Ether as a crypto asset, and spot ETFs are only of limited use as an alternative. Therefore, Lee wants to accumulate as much ETH as possible with BitMine in order to profit from the current “undervaluation” in the long term.
- But that's by no means all. In the long term, the entire global financial system could be built on the Ethereum blockchain, a foundation for which the well-known crypto investor wants to lay with his company.
- At the time of writing, Ethereum is trading at $4,375, up 5.3 percent from the previous day. Compared to the previous week, the Ether price increased by 8.9 percent, boosted by the positive trend reversal in spot ETFs.
- BitMine currently holds 2.6 million ETH, valued at $11 billion, making it the world's leading Ethereum strategy firm. In second place is SharpLink Gaming, which holds 837,000 ETH and is led by Consensys CEO Joe Lubin.
- For Tom Lee, Ethereum remains the “biggest macro trade of the next 10 to 15 years” and, as a productive asset with staking options, offers even more return potential than BTC. As early as the beginning of July, he predicted an ETH price of $10,000 by the end of the year.
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Sources
- ETH ETF Net Inflows I Farside
