Big bull Tom Lee said the declines in the cryptocurrency market were a temporary shock.
Bitcoin (BTC) and altcoins started the new week with further declines. Bitcoin fell to around $64,000, while Ethereum (ETH) also dropped to $1,860.
While some investors see the recent decline as an opportunity, BitMine Chairman Tom Lee has also offered his new assessments.
Speaking to CNBC, big bull Tom Lee said the declines in the cryptocurrency market were just a temporary shock.
Tom Lee, who is also the head of the Ethereum treasury company Bitmine, considered the recent cryptocurrency downturn to be a temporary shock rather than a structural collapse.
Lee stated that the declines were solely due to volatility stemming from macroeconomic variables such as the Supreme Court ruling on US President Donald Trump’s tariffs, and did not reflect a weakening of network fundamentals.
Tom Lee described the 50% correction seen in Bitcoin as a “crypto storm,” stating that it was an intense storm but would be short-lived.
“We are experiencing classic bear market movements. However, instead of euphoric peaks and sudden 70% drops, we are seeing slower and more gradual pullbacks. Historical mid-year patterns also call for caution rather than early optimism.”
Furthermore, noting the continuing trend of expanding the commercial use of cryptocurrencies, he cited increased Ethereum transaction activity, the spread of tokenization, and growing participation from Wall Street as examples of the resilience and adoption of cryptocurrencies.
