Ethereum is on a path similar to Bitcoin’s, which has seen its price rise more than 100 times since 2017.
Tom Lee, executive chair of BitMine, believes Ethereum is entering a “Supercycle” like the one Bitcoin experienced.
Lee made this prediction in a Sunday post on X. He recalled that he had recommended Bitcoin to his research firm Fundstrat’s clients when it was trading at approximately $1,000.
Bitcoin experienced significant volatility, with declines of up to 75% in the years. Bitcoin has now “100x from our first recommendation,” Lee said. “We believe ETH is embarking on that same Supercycle.”
Ethereum trails Bitcoin as market faces volatility
Ether had lagged behind Bitcoin for months in early 2025 as Bitcoin broke new price highs. ETH reached an all-time high of $4,946 in August, while Bitcoin continued to climb to its peak of over $126,000 in October.
As of Monday, Bitcoin has fallen 24.17% from its high, and Ethereum has dropped over 35.51% from its peak as the market has contracted. Lee said that such volatility is due to doubt and is “discounting a massive future.”
“To have gained from that 100x Supercycle, one had to stomach existential moments to HODL,” he added.
CryptoQuant analyst Burak Kesmeci also provided the information about the movement of Ethereum prices. Kesmeci noted that Ethereum is only currently $200 less than the cost basis of long-term investors, who have accumulated ETH over time.
According to Kesmeci, Ether has only fallen under this threshold once, in April, under the US global tariffs under Trump. According to him, this is a robust long-term accumulation price.
Long-term accumulation of ETH grows as price stabilizes
Kesmeci added that 17 million ETH will have been transferred to long-term accumulation wallets. The total amount currently in these wallets has grown to 27 million ETH as compared to 10 million ETH at the beginning of the year.
Kesmeci proposed that in case Ethereum falls below the level of $2,900, then chances are that they may not stay in the position. This is historically a heavy price of accumulation, and any decline from this position would probably be short-lived.
Ether has gone to its lowest point of $3,007 in the last 24 hours but has slightly recovered and is currently at $3,204 in the past day.
Even with the decline, the price has not declined sharply, indicating the confidence of investors in the prospects of the cryptocurrency in the long term.