Tom Lee, co-founder of renowned Fundstrat Global Advisors and a cryptocurrency analyst, has stated that Ethereum’s (ETH ($2,152.37 · Live)) prolonged bear market has ended and that the bottom is now behind it.
In an analysis shared with the Bitmine (BMNR) team, Ethereum’s price chart was compared to the recovery periods following the major crashes in the S&P 500 in 1987 and 2011, using Tom DeMark indicators. According to the analysis, the current price structure shows a 93% correlation with these two historical low cycles.
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According to the analyst, Ethereum’s realized price is at $2,241, and ETH is currently trading approximately 22% below its average cost. Tom Lee argued that these levels have created strong buying opportunities in past cycles and represent a critical threshold where the trend reverses.
Ethereum’s price movement has been compared to two iconic S&P 500 recovery periods following crashes. These include a 93% correlation with the S&P 500 recovery after Black Monday in 1987 and an 89% correlation with the bottom formation after the 2011 US Debt Ceiling Crisis. Tom Lee argues that the bottom for ETH is behind us.
*This is not investment advice.
Continue Reading: Tom Lee Declares That Ethereum Has Bottomed Out