Fundstrat's Chief Investment Strategist, Tom Lee, has predicted that the price of Ethereum will soon rise to $5,500, with an impressive year-end target of $12,000.

On the Amitis Investing show on August 26, Lee revealed that the sentiment of Wall Street financial institutions towards Ethereum has changed significantly after the U.S. Senate passed the GENIUS Act on Stablecoins.

Lee emphasizes that Ethereum is the blockchain infrastructure for traditional finance (TradFi), currently supporting a stablecoin supply worth over $145 billion.

This is one of the main reasons he considers ETH one of the biggest global investment opportunities of the next decade.

Tom Lee's forecast for Ethereum According to the Bond Accumulation Strategy worth $7.65 Billion.

After Lee launched the ETH fund management company BitMine, a significant amount of capital has flowed into Ethereum. Investors and retail investors systematically shifted capital from Bitcoin to Ethereum, with an average daily liquidity of $900 million.

On June 30, when Tom Lee launched BitMine's Ethereum accumulation strategy, Ethereum's market capitalization increased by more than $255 billion.

Standard Chartered's analyst, Jeff Kendrick, recently noted that ETH fund management companies are increasingly strong in capital flow compared to Bitcoin fund management companies.

From a regulatory focal point, Kendrick believes that these Ethereum reserve management organizations have greater expansion potential compared to Bitcoin management companies.

The forecast from Tom Lee's internal analyst, who accurately predicted Ethereum's decline to $4,075 last week before rising to an all-time high of $4,900, has provided new analysis for BitMine's management.

On August 26, Tom Lee predicted that the price of Ether would appear within hours, coinciding with BitMine Immersion Technologies buying an additional $21.28 million ETH, bringing the total ETH held to $1.72 million, worth $7.65 billion.

This forecast aligns with the technical assessment of internal analyst Mark Newton, who believes Ethereum will aim for new highs near $5,100 before targeting $5,500.

In a subsequent interview with CNBC, Lee reinforced his prediction for ETH with a strong price target of $12,000 to $16,000 for Ether, suggesting that "Ethereum is experiencing a moment similar to Bitcoin in 2017."

Ryan Adams, an investor and cryptocurrency analyst at Bankless, considers Lee's prediction for ETH to be excellent.

Please note that Tom Lee has accumulated nearly $10 billion worth of ETH in the past 50 days, accounting for about 1.4% of the total ETH supply.

If Lee achieves his accumulation target of 5% and ETH surpasses $12,000, Adams predicts that BitMine could outpace Strategy to become the largest publicly traded digital asset fund management company in the world.

Large holders are currently leveraging the growth momentum and capital inflows into Ethereum to reach new heights.

On-chain information from Arkham shows that nine shark addresses have recently purchased a total of $456.8 million ETH through the BitGo and Galaxy Digital over-the-counter trading services.

Technical Analysis: Why Breaking Through $4,800 Could Trigger a Major Price Surge for ETH.

From a technical analysis perspective, the 1-hour ETH chart shows short-term upward momentum with key support areas clearly identified.

Recent price action has rebounded from the demand zone of $4,200-$4,460, with additional buy positions being established around $4,500, indicating confident accumulation during the price decline.

Chart analysis indicates the expectation that ETH will break through the resistance area of $4,950-$5,000 consistent with potential breakout targets from the evolving harmonic pattern.

Currently, ETH is consolidating around $4,580 after a pullback, while recent momentum indicators show a new cross-up, indicating potential for continued recovery.

As long as leverage levels maintain support in any pullbacks, the outlook remains positive. The next key resistance level is $4,950-$5,000.

However, failing to maintain support above $4,600 could trigger a deeper correction before the next upward attempt.

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