Tom Lee "Ethereum may surpass 5500 dollars by year-end"

Minseung Kang

Summary

Tom Lee, co-founder of Fundstrat, said in a CNBC interview that Ethereum could reach 5500 dollars by year-end.
Lee said the Ethereum network's on-chain activity and increased trading volume on L1·L2 networks are the core reasons for the price rise.
He predicted that if the Fed's additional interest rate cuts materialize, Ethereum could gain further upward momentum.

Ethereum (ETH) could rise to 5500 dollars by year-end thanks to Layer 1 (L1) and Layer 2 (L2) network scaling and an increase in stablecoin trading.

On the 25th, according to crypto-focused media CoinGape, Tom Lee, co-founder of Fundstrat and chairman of BitMine, said in a CNBC interview, "On-chain activity on the Ethereum network is rapidly increasing, and if fundamentals are reflected in the price, it could reach 5500 dollars by year-end."

Lee said, "Bitcoin proved its stability as a store of value by falling only 3~4% even in the largest-ever liquidation event," and added, "This shows that market liquidity is improving and investor confidence is rising."

He went on, "Ethereum's trading volume is rapidly increasing on both L1 and L2 networks," and "As of August this year, Ethereum's trading volume increased 44% year-on-year to reach 320 billion dollars." He explained that daily active addresses also surpassed 1 million, indicating expanding user activity.

Currently, Ethereum is trading around 3951 dollars, down 0.65% from the previous day. Lee said, "L2 scaling solutions increase network throughput by about 20% and are laying the foundation for long-term growth," and "If additional interest rate cuts by the U.S. central bank, the Federal Reserve (Fed), materialize, Ethereum's upward momentum will gain more strength."

The outlet analyzed, "While Bitcoin shows consistency as a store-of-value asset, Ethereum's network expansion is strengthening the fundamental resilience of a long-term bull market."

ETH