New Trends from the Ethereum Bullish PI: Tom Lee Joins Bitmine and Predicts ETH Will Reach $10,000

Wall Street renowned analyst Tom Lee has recently become the focus of the cryptocurrency industry. This founder of Fundstrat, known for accurately predicting market trends, has recently been appointed as the chairman of the board for mining company Bitmine, and is involved in the company's launch of a $250 million Ether treasury strategy. In a recent interview, Lee boldly predicted that during the current market cycle, the price of Ether will rise to $10,000.

Bitmine Launches Ethereum Treasury Strategy, Tom Lee Appointed Chairman of the Board

The mining company Bitmine Immersion Technologies (BMNR) recently announced a $250 million private placement plan aimed at funding its Ethereum treasury strategy. This initiative is similar to the approach taken by a well-known company that adopts a Bitcoin treasury strategy.

On July 3, Bitmine's stock soared over 1,000%, sparking enthusiastic discussions among investors. This fundraising received support from several active institutions in the crypto investment community, including well-known investment funds and digital asset companies.

At the same time, Bitmine announced the appointment of Tom Lee as the chairman of the board. As the founder of Fundstrat, Lee has long been optimistic about cryptocurrency. His early conviction in Bitcoin and technology stocks earned him a loyal following on Wall Street.

Despite the surge in stock prices attracting widespread attention, it also comes with risk warnings. Analysts have pointed out that while crypto treasury strategies are a powerful narrative driver, they also bring new volatility risks. The future of Bitmine will be closely linked to the trends of Ethereum, where sentiment shifts can be very rapid. For investors bullish on the long-term application of Ethereum, direct investment may be a simpler and less volatile option.

Tom Lee is bullish on Ethereum: Stablecoins will drive the index growth of transaction fees

In a recent interview, Tom Lee stated that he is bullish on Ethereum due to its programmable smart contract features and the rise of stablecoins. He mentioned a recently well-known stablecoin company, valued at up to $9 billion. Lee believes that stablecoins are like ChatGPT in the cryptocurrency space, as they have already broken into the mainstream market.

Lee pointed out that Wall Street is trying to give tokenized assets the attributes of stocks, while the crypto world is working on the tokenization of stocks. Many large financial institutions and tech companies are paying attention to stablecoins. Lee believes stablecoins are a very good business model, effective for both consumers and merchants.

"Ethereum was once overlooked. The total size of the stablecoin market is only $250 billion, which accounts for 30% of Ethereum's transaction fees, and Ethereum generates over 50% of stablecoins each year. If the stablecoin market grows 10 times, this will lead to an exponential increase in Ethereum's transaction fees," Lee said.

Advantages of Treasury Strategy

When discussing the advantages of treasury strategies compared to directly purchasing Ethereum, Lee presented five key points:

1. Reflective Growth: Treasury companies can increase the token amount per share by issuing stocks.
2. Lower capital costs: Capital costs can be reduced through convertible bonds or derivatives.
3. The gap between market price and net asset value: Arbitrage can be achieved by acquiring other treasury companies.
4. Establish an operating company: It can conduct businesses such as Ethereum staking loans.
5. Structured put options: Large institutions may choose to buy stocks of treasury companies that hold large amounts of Ethereum, rather than directly purchasing Ethereum.

Lee believes that these factors make the treasury strategy more advantageous than directly buying Ether or ETFs.

Tom Lee's Career

Tom Lee's career began in the early 1990s, working for several well-known financial institutions. In 1999, he joined a major bank as the Chief Equity Strategist. In 2014, Lee left the bank to found his own research consulting firm, Fundstrat Global Advisors.

Lee is the first major strategist on Wall Street to provide formal research on Bitcoin for clients, a move that attracted widespread media attention at the time. He is known for his deep insights into the market and accurate long-term forecasts, with analyses covering stock index predictions, views on market rebounds, and comments on specific stocks.

Recently, Lee predicted that a certain stock index will rise by 10% in 2025, and believes that the current market rebound, although positive, has not yet gained the trust of most investors. Although some criticize Lee's market expectations as overly optimistic, his supporters highly praise his institutional-level perspective and deep understanding of market trends.