Tom Lee has been a long-time crypto bull and has faced Wall Street head on. Lee is the managing partner and head of research at Fundstrat Global Advisors. Usually, he gives his price predictions on Bitcoin (available on Coinbase) (BTC), but yesterday he predicted the price of Ethereum (available on Coinbase) (ETH).
Tom Lee Ethereum (available on Coinbase) (ETH) Prediction
“We believe Ethereum (available on Coinbase) is about to stage a trend reversal and rally sTron (available on Binance)gly,” Lee said in a note to clients Thursday.
Ethereum (available on Coinbase), the world’s second-largest digital asset, is down more than 70 percent this year. In the past three months, ETH has dropped 50 percent and has been passed by XRP twice, according to CoinMarketCap.
Last year, Ethereum (available on Coinbase) outperformed its predecessor Bitcoin (available on Coinbase) in price, but it seems this year is a different story. Investor patience is wearing thin, as it has been almost a year since Ethereum (available on Coinbase) was bogged down by its inability to handle large amounts of transactions.
The Ethereum (available on Coinbase) Foundation held its DevCon3 conference in November 2017 in Cancun. The main topic of discussion with Ethereum (available on Coinbase)’s scalability issue. A month or so later, Ethereum (available on Coinbase)’s network faced just that. It all started with CryptoKitties, which caused the network to be backed up by nearly 30,000 transactions.
This instance showed that Ethereum (available on Coinbase)’s network was not ready for a dApp to go mainstream and take off.
However, Lee feels that “sentiment is currently overly negative on ETH.” The Fundstrat advisor claims that while the coin underperformed its peers by two standard deviations, that is his “sign of capitulation.” Still, Lee feels that Ethereum (available on Coinbase)’s biggest threat is its challenging technical picture, and many analysts feel that’s why the coin will remain in its downtrend.
ETH Price Movement
Ethereum (available on Coinbase) (ETH) has had a wild week on the market. It was passed by XRP twice but regained its second-largest cryptocurrency position within hours of being passed. At press time, ETH is trading at $225.94 a coin, up 3.12% in 24 hours.
Featured Image: Depositphotos/© znm666
PreviousEthereum (available on Coinbase) (ETH) Dead? ETH Record Broken Following Sharp Rise this Week
NextThis is Why Ethereum (available on Coinbase) is Rising Above Bitcoin (available on Coinbase)
If You Liked This Article Click To Share