Renowned analyst Tom Lee from Fundstrat Global Advisors has just released bullish forecasts for Bitcoin and Ethereum in 2026. Lee predicts that a blend of macroeconomic and technical factors could drive BTC to $150,000 and ETH to $7,000-9,000 by January 2026.
In a recent video appearance, Tom Lee asserts that 2026 represents one of the best setups for crypto investors in several years. His analysis rests on three fundamental pillars: the anticipated easing of U.S. monetary policy, rapidly growing institutional demand, and a structural supply shock linked to the Bitcoin halving. These combined elements would, according to him, create ideal conditions for a V-shaped recovery in crypto markets.
Tom Lee identifies the evolution of Federal Reserve monetary policy as the primary driver of his bullish thesis. After three years of aggressive monetary tightening, the analyst anticipates a significant improvement in liquidity conditions in 2026. The possibility of leadership change at the Fed and diminishing inflationary pressures could create an environment conducive to risk-taking.
Lee also highlights the prolonged weakness of the U.S. economic cycle. The ISM Manufacturing PMI has remained below the 50-point threshold for 36 consecutive months, an unprecedented duration in modern economic history. This exceptionally long stagnation traditionally sets the stage for a vigorous rebound in economic activity and risk assets, including cryptocurrencies.
Timing is crucial in this analysis. Monetary easing combined with economic recovery historically favors the performance of high-volatility alternative assets like Bitcoin and Ethereum. Investors then regain the appetite for risk necessary for crypto asset appreciation.
On CNBC, Tom Lee developed his technical argument concerning Bitcoin. The 2024 halving cut miner rewards in half, drastically reducing the daily issuance of new BTC onto the market. Simultaneously, on-chain data shows a continuous decline in supply available on exchanges, a sign of sustained institutional accumulation.
This supply-demand dynamic creates, according to Lee, the conditions for major bullish pressure. Institutional demand via spot Bitcoin ETFs continues to grow, while liquid supply contracts. Lee estimates that Bitcoin could reach $100,000 to $150,000 before the end of 2026, while maintaining his very long-term target of $3 million per BTC.
Michael Saylor, CEO of MicroStrategy, reinforced this vision by stating: “There is no second best. Demand is exponential, supply is fixed, the math is inevitable.” This quantitative approach underscores Bitcoin’s deflationary nature, an asset increasingly perceived as an institutional store of value.
For Ethereum, Tom Lee adopts a fundamental approach based on the network’s utility. He considers that ETH presents major long-term potential thanks to two structural trends: the explosion of stablecoins and the acceleration of real asset tokenization by giants like BlackRock and Robinhood.
Lee predicts that Ethereum could reach the $7,000 to $9,000 range by the end of January 2026. This forecast is based on the observation that Ethereum network fundamentals are strengthening despite recent price weakness. ETH supply on exchanges is declining sharply, a technical signal of a potential local bottom forming.
The analyst also notes that the historic reversal of U.S. stock markets last November could provide additional momentum to cryptocurrencies. Aaron, host of Altcoin Daily, shares this sentiment and describes this period as one of the best buying opportunities in recent years. The correlation between traditional and crypto markets would therefore favor a broad-based recovery.
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Gaston has been a writer for over 7 years and a passionate cryptocurrency enthusiast since 2020. He loves exploring the crypto ecosystem and is now dedicated to sharing his insights and discoveries through InvestX.
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