Is Ethereum starting a Bitcoin-like ‘supercycle’? Here’s what Tom Lee has to say

Jakarta, Pintu News – Ethereum (ETH) appears to be entering a long-term growth cycle similar to the one experienced by Bitcoin a few years ago. Tom Lee, Executive Chairman of BitMine, revealed that he sees early signs of what he calls a major “supercycle”.

This is similar to when he recommended Bitcoin (BTC) at just $1,000 in 2017. Although Bitcoin has experienced several crashes of up to 75%, the asset still managed to deliver returns of up to 100 times its initial price. Now, Lee believes that Ethereum (ETH) is set for a similar journey.

Tom Lee’s take on why Ethereum is just starting its journey

At the start of 2025, Ethereum was still lagging behind Bitcoin, with BTC reaching new records above $126,000 while ETH only peaked at $4,946 before losing momentum. Both assets have now cooled off, with Bitcoin down about 25% from its peak, and Ethereum down more than 35%. According to Lee, downturns like these are normal in major cycles.

He sees this drop not as weakness, but as a sign that the market hasn’t fully priced in what’s coming next. Volatility, he believes, is just doubt, and doubt often hides the greatest opportunities. Just as Bitcoin’s early believers had to endure a huge drop during its 100-fold rise, Lee thinks that Ethereum investors may be facing a similar emotional test right now.

Also read: Bitcoin (BTC) Predicted to Break $220,000 in 45 Days, Is it Possible?

Long-term Ethereum holders are close to breaking even

Burak Kesmeci, an on-chain analyst from CryptoQuant, added further perspective by pointing to Ethereum’s long-term holders. With ETH trading near $3,150, he stated that the token is only about $200 above the average price at which long-term accumulators buy their coins. These wallets have been consistently accumulating ETH throughout the year.

Ethereum has only dropped below this level once this year, which was in April, when global tariffs under President Trump briefly shook the markets. History shows that whenever ETH drops to long-term cost levels, it rarely stays there for long. The zone tends to be one of the strongest buying opportunities for patient investors.

Read also: Robert Kiyosaki Vs. Warren Buffett About Bitcoin

Accumulation Increases Rapidly

Kesmeci notes that long-term ETH holdings have jumped from 10 million at the beginning of the year to 27 million currently. This sharp increase indicates growing confidence from committed holders. Although ETH recently touched $3,023 before recovering to around $3,185, analysts believe that the broader trend still shows strength building beneath the surface.

Ethereum is still stuck in a tight downtrend, being rejected at every lower peak, but the market is finally showing signs that the selling pressure is starting to slow down. On the daily chart, ETH is holding inside the $3K-$3.1K strong demand zone, with a positive RSI divergence suggesting bearish momentum is starting to fade. However, the trend remains weak unless buyers push the price back above $3.45K-$3.55K and reclaim the 200-day MA.

On the lower time frame, ETH is wedged inside a descending wedge, with any breakout attempts blocked at $3.55K and $3.8K. Price is now near the lower edge of the wedge, where the long wick suggests buyers are stepping in. A move above $3.35K could trigger a brief bounce towards $3.55K, but failure there leaves the door open for a retest of $3K, or even a quick drop below, before a real recovery begins.

FaQ

Who is Tom Lee and what is his role in cryptocurrency analysis?

Tom Lee is the Executive Chairman of BitMine, known for his in-depth analysis on cryptocurrencies and having recommended Bitcoin (BTC) when it was still $1,000 in 2017.

What is a supercycle in the context of Ethereum (ETH)?

A supercycle is a period of enormous and sustained price growth, which Tom Lee predicts for Ethereum, similar to what Bitcoin experienced a few years ago.

What is the highest price ever reached by Ethereum (ETH) and when did it happen?

Ethereum reached a high of $4,946 in early 2025 before losing momentum.

What is the significance of Ethereum’s (ETH) long-term cost zone?

The long-term cost zone is the average price at which long-term holders have bought ETH. This is often a strong buying zone when the price drops to this level.

What are the current trends in the Ethereum (ETH) market?

Ethereum (ETH) is currently experiencing a downward trend, with selling pressure starting to slow down and potential for recovery if it can break some key resistance levels.

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*Disclaimer

This content aims to enrich readers’ information. Pintu collects this information from various relevant sources and is not influenced by outside parties. Note that an asset’s past performance does not determine its projected future performance. Trading crypto carries high risk and volatility, always do your own research and use cold hard cash before investing. All activities of buying and selling bitcoin and other crypto asset investments are the responsibility of the reader.

Reference:

• Coinpedia. Is Ethereum Starting its Own Bitcoin-Style Supercycle? Tom Lee Weighs In. Accessed on November 18, 2025
• Featured Image: Generated by AI