Tom Lee believes that Bitcoin and Ethereum are set to recover when the FOMO for gold and silver subsides. A weaker dollar, and Fed ease will boost cryptocurrency.
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- Lee claims that FOMO is causing Bitcoin, Ethereum, and other cryptos to lose liquidity due to the record breaking gold and silver prices.
- He argues past pullbacks in precious metals often coincided with upside in BTC and ETH as capital rotated back into digital assets.
- Lee expects a weaker dollar and easier Fed policy to unlock fundamental upside for cryptocurrencies once metals’ momentum stalls.
Tom Lee, head of research at Fundstrat Global Advisors, stated that cryptocurrencies will begin recovering once the current rally in gold and silver prices subsides, according to comments made on CNBC’s Power Lunch program.
Lee maintained a bullish outlook for Bitcoin (BTCEthereumETHThe recent drop in market value has not stopped investors from buying Bitcoin, Ethereum and other digital currencies. Analyst said that precious metals have overshadowed digital assets, as they have hit record-highs during recent trading sessions.
Bitcoin and Ethereum prices poised to break out: Lee
As per LeeInvestors, driven by the fear of losing out, have turned their attention to gold and Silver, as precious metals rallies continue, and moved money away from Bitcoin. He said that the halt in price increases for gold and silver would lead to a recovery in cryptocurrency markets.
Lee is cited historical Patterns show that the decline in precious metals prices has coincided with an increase in Bitcoin and Ethereum values. According to the analyst, precious metals are currently strong and this is making it difficult for cryptocurrencies to be valued on their core characteristics.
Fundstrat’s executive said that cryptocurrency would rise in price if the U.S. Dollar weakens, and if Federal Reserve adopts policies of monetary ease.
According to recent market sessions, Bitcoin was trading at around $94,000, which is a drop from its previous highs in the first half of this year.
Ethereum’s price outlook remains range-bound but asymmetric: spot is struggling to hold the $3,000 level, yet most 2026 forecasts cluster around $3,000–5,000 with upside spikes toward $6,000+ if network upgrades, ETF flows, and broader risk sentiment turn supportive, while failed holds of the $2,700–2,800 support band keep a slide toward the mid‑$2,000s on the table.
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Source: crypto.news
