Tom Lee Predicts Ethereum Rally Above $5,500, $12,000 By Year-End

Tom Lee, co-founder of Fundstrat Global Advisors and head of BitMine Immersion—the largest Ethereum treasury company—predicts a significant rally for Ethereum, forecasting a near-term price of $5,500 and a year-end range between $10,000 and $12,000. Lee cites a shift in U.S. regulatory stance, including the GENIUS Stablecoin legislation and SEC initiatives, which he believes favor Ethereum as the foundational blockchain for institutional finance and Wall Street's transition to on-chain infrastructure. He argues that Ethereum's reliability and zero downtime make it the preferred settlement layer, with potential long-term valuation reaching $60,000 per ETH if major payment and banking flows migrate on-chain. Despite a recent $200 billion market correction that pulled Ethereum toward $4,300, Lee and Fundstrat’s technical strategist Mark Newton anticipate a bottom near this level and a strong rebound, supported by institutional accumulation, notably BitMine's growth to over 1.7 million ETH holdings. Some analysts caution about short-term overbought conditions and potential consolidation or pullback, but overall sentiment among institutional and retail investors remains bullish, with daily rotation from Bitcoin to Ethereum averaging $900 million. This combination of regulatory changes, institutional demand, and market dynamics underpins Lee's view of Ethereum as one of the largest macro investment opportunities over the next decade.