Fundstrat Global Advisors Co-Founder and Head of Research Tom Lee expects Ethereum (ETH) to trade well above $10,000 within the next 12 months, describing an aggressive year-end target set by Arthur Hayes as conservative. Speaking at Korea Blockchain Week, Lee pointed to accelerating digital asset treasury purchases and low institutional exposure as catalysts that could fuel one of the market’s largest crypto cycles to date, according to Yahoo Finance.
While Hayes projected during the same interview that Ethereum could reach the $10,000 threshold by the end of the year, Lee argued that timeline underestimates the asset’s cyclical behavior. Pointing to historical cycles where Ethereum climbed by multiples of 50x to 200x, Lee illustrated that a 25-fold expansion from previous cycle lows could theoretically carry the token as high as $62,000, though he maintained that a 12-month horizon is more realistic for reaching the $10,000 mark than the end of the current year.
A core pillar of Lee’s bullish outlook rests on the growth of digital asset treasuries (DATs) and their ability to tighten circulating supply. According to Yahoo Finance, Ethereum DATs currently hold approximately 7% of the total token supply, a figure Lee anticipates could expand to 15% over the course of the cycle.
Bitmine Immersion Technologies (BMNR), where Lee serves as chairman, operates as the largest Ethereum treasury holding 6,001,302 ETH—representing roughly 4.9% of the cryptocurrency’s circulating supply based on regulatory filings. Beyond Ethereum, Lee highlighted similar mechanics in other tokens, pointing to Hyperliquid (HYPE) where treasury structures control significant portions of circulating inventory and continue aggressive accumulation.
Institutional Adoption and Tokenization Dominance
Addressing broader market dynamics, Lee noted that institutional participation remains exceptionally low, estimating that only about 2% of institutions within Fundstrat’s universe currently maintain active crypto allocations. This untapped pool sets the stage for a substantial rotation of capital into digital assets.
At the same time, Lee dismissed assertions that Ethereum is losing ground to competing layer-1 networks in enterprise adoption. According to Stocktwits, Lee asserted that 99% of tokenization projects developed by major financial institutions such as JPMorgan and BlackRock remain anchored on the Ethereum network. Market performance reflects broader resilience, with Ethereum gaining approximately 65% during the third quarter while traditional equities remained flat, despite lingering retail hesitancy.
Follow-up Questions
What percentage of institutional investors currently hold crypto exposure?
According to Fundstrat, only about 2% of institutions in their universe have an active allocation
What remains unclear: What is the exact timeline for broader institutional capital deployment across the wider financial sector?
How much Ethereum do corporate digital asset treasuries currently control?
DATs hold roughly 7% of Ethereum’s circulating supply, with projections pointing toward 15% this cycle
What remains unclear: How will aggressive treasury accumulation impact long-term exchange liquidity and retail trading dynamics?
Perspectives
Fundstrat Research View vs Corporate Treasury View
Story lens
Fundstrat Research View
Fundstrat frames low institutional saturation as a structural catalyst for a fourth-quarter rotation. By highlighting that only 2% of surveyed institutions maintain exposure, the research division signals substantial unrealized demand that could propel prices higher as allocation mandates shift
Corporate Treasury View
Major holders like Bitmine Immersion Technologies view aggressive treasury accumulation as a primary mechanism for supply contraction. Expanding holdings from 7% toward 15% of total supply could artificially restrict market liquidity and amplify upward price volatility during high-demand cycles
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