Fundstrat's Tom Lee reignited debate over Ethereum's long-term upside after predicting the cryptocurrency could reach $62,000, though analysts caution the asset must first break critical resistance levels.
Lee made the prediction during a keynote address at Binance Blockchain Week in Dubai on December 4, arguing Ethereum remains "grossly undervalued" at current levels near $3,000.
His forecast hinges on Bitcoin climbing to $250,000 and Ethereum reclaiming a 0.25 ratio against BTC, the level it reached during the 2021 bull market.
"Ethereum at $3,000 is grossly undervalued," Lee told the audience, according to CCN. "If Ethereum returns to its eight-year average ratio against Bitcoin, that's $12,000. But if it gets to 0.25 relative to Bitcoin, that's $62,000."
What Happened
Lee framed Ethereum's current moment as a pivotal inflection point driven by real-world asset tokenization. He compared 2025 to 1971, when the U.S. dollar left the gold standard and triggered financial innovation.
"In 2025, we're tokenizing everything," Lee said. "It's not just the dollar that's getting tokenized, but it's stocks, bonds, real estate, and Wall Street is again going to take advantage of that and create products onto a smart contract platform."
The Fundstrat co-founder noted the "vast majority" of real-world asset infrastructure is being built on Ethereum, positioning the network as the primary rails for institutional finance.
BitMine Immersion Technologies, the Ethereum treasury company Lee chairs, acquired 96,798 ETH worth approximately $291 million in early December, according to CoinDesk. The purchase pushed BitMine's holdings to 3.73 million ETH, representing more than 3% of circulating supply.
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Ethereum was trading around $3,040 at press time, with 24-hour volume at $24.2 billion. The cryptocurrency completed its Fusaka upgrade on December 3, introducing improvements to scalability and Layer 2 efficiency.
Why It Matters
Technical analysts remain cautious despite Lee's bullish long-term outlook. Crypto analyst Ali Martinez emphasized Thursday that Ethereum must break above $4,800 before higher targets like $6,800 and $8,800 become realistic.
"$62,000 is possible in an extended bull cycle, but $4,800 is the line in the sand right now," Martinez wrote on X, sharing a Fibonacci extension chart.
The $4,800 level has served as strong resistance for Ethereum, with the cryptocurrency struggling to establish sustained momentum above $4,000 since November 2021. Current technical indicators show the 200-day exponential moving average at $2,620 providing support, while the Relative Strength Index reads 62 on the daily chart.
Lee's $62,000 prediction would imply a market capitalization of approximately $7.5 trillion for Ethereum, exceeding Bitcoin's current cycle peak and representing roughly 60% of gold's $13 trillion valuation. The forecast depends on Bitcoin reaching $250,000 and Ethereum recovering to its historical peak ratio against BTC.
The prediction has drawn skepticism from some market observers who question whether such extreme valuations are achievable. However, Lee maintains Ethereum's role in tokenization and decentralized finance justifies the upside potential.
BitMine's continued accumulation signals institutional confidence in Ethereum's long-term prospects. The company aims to acquire 5% of total ETH supply and plans to deploy its Made in America Validator Network staking infrastructure in early 2026.
Lee clarified his $62,000 target represents a long-term scenario rather than a near-term prediction, acknowledging the path to such levels would require sustained network growth, institutional adoption, and favorable macro conditions over multiple years.
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