ETH Price to $16K? Wall Street Analyst Tom Lee Says Ethereum is Having its Bitcoin 2017 Moment

Ethereum (ETH) price might reach $16,000, according to Tom Lee, the head of research at Fundstrat. He believes that Ethereum is currently at the same place that Bitcoin was in 2017 when institutions were starting to dip their toes in the asset.

Tom Lee Predicts $16,000 Target For Ethereum Price

Despite the slower start to August, Wall Street analyst Tom Lee is holding firm on his bullish outlook for Ethereum. In a recent interview with CNBC, Lee said he still sees a path for ETH to hit $16,000. His target is based on the BTC/ETH ratio in 2021, suggesting that if Ethereum follows a similar trajectory, there is still plenty of room for upside. He says,

“The ratio of Ethereum to Bitcoin could go back to 2021 highs, which is about 0.14. That would value Etherem today at around $16,000.”

Lee also says that Ethereum is having its 2017 moment. It was during this year that Wall Street bought the narrative of BTC being digital gold. Now, with friendly US regulations, Wall Street is turning to ETH. This means that the growth that Bitcoin saw in the last eight years, since 2017, might be replicated in Ethereum.

Lee is becoming one of the biggest ETH bulls. He is currently the chair of Bitmine, which is slowly evolving into the “MicroStrategy of Ethereum.” CoinGape reported that Bitmine is one of the corporate firms expanding Ethereum treasuries.

ETH Confirms Wedge Breakout as 79% Rally Looms

Analyst Gert van Lagen also shares in the bullish bias that the Ethereum price is going higher. He identifies a falling wedge that is disguised as rejection at the $4,000 resistance. Because of this wedge, ETH might be making a rebound soon.

From the highest point of the wedge to the lowest point is a 79% fall. What this means is that the price might just mirror the same performance, but this time, the 79% will be in favour of bulls. That means a 79% surge from the resistance at $4,000.

Going by this forecast, it is possible that Ethereum will get to $9,000. Lagen says that there is a 67% chance that this pattern is going to play out this way. That means that getting to $16,000, just as Lee projects, might be in the cards.

These projections indicate that overall sentiment around ETH remains largely bullish. Looking further ahead, though, the long-term forecast for Ethereum appears more balanced, with potential wins for both bulls and bears.

To sum up, the Ethereum price performance this August could simply be part of its usual seasonal pattern. It is not the first time the coin has moved sideways this time of year. But with institutional players gradually stepping in, Tom Lee’s $16,000 target might still be within reach.