Ether may be entering the same kind of explosive growth phase that helped Bitcoin multiply more than 100-fold since 2017, according to Tom Lee, executive chair of Ether-focused treasury firm BitMine.
In a post on X on Sunday, Lee noted that he first recommended Bitcoin to clients of his research firm, Fundstrat, when it traded near $1,000 in 2017. Since then, Bitcoin has endured several deep corrections—some as steep as 75%—yet still climbed dramatically.
“Bitcoin has now 100x from our first recommendation,” Lee wrote. “We believe ETH is embarking on that same supercycle.”
Ether spent much of early 2025 trailing behind Bitcoin as BTC repeatedly set new record highs. ETH eventually hit its own all-time high of $4,946 in August, while Bitcoin continued rising to more than $126,000 in October.
As of Monday, Bitcoin has pulled back 25% from its recent high, while Ether has fallen more than 35% from its peak amid a broader market contraction. Lee said this level of volatility stems from investor doubt and reflects a market that is “discounting a massive future.”
“To benefit from that 100x supercycle, investors had to endure moments that felt existential in order to HODL,” he added.
Ether Approaches Long-Term Holders’ Cost Basis
CryptoQuant analyst Burak Kesmeci noted on Sunday that with Ether trading near $3,150, it is now only about $200 away from reaching the average cost basis of long-term holders—those who have been “patiently stacking” ETH over time.
Kesmeci noted that Ether has fallen below this level only once before—back in April, when U.S. President Donald Trump’s global tariffs took effect.
He added that roughly 17 million ETH has moved into accumulation addresses this year, with long-term wallets increasing their collective holdings from 10 million ETH at the start of the year to 27 million ETH today.
According to Kesmeci, if ETH declines below $2,900—the cost basis of these long-term holders—“it is unlikely to stay there for long,” as this level has historically provided one of the strongest long-term accumulation opportunities.
Ether briefly touched a 24-hour low of $3,023 before recovering slightly and is now trading flat at around $3,185.
