Tom Lee’s Bullish Bet: Bitcoin Not Peaked Yet – New All-Time High by January 2026?
Tom Lee’s Bullish Bet: – New All-Time High by January 2026?
In the fast-moving world of crypto, few voices carry as much weight as Tom Lee, co-founder of Fundstrat Global Advisors. On a recent CNBC Squawk Box show, Lee made headlines by declaring that
Why Tom Lee Thinks Bitcoin Still Has Room to Run
Tom Lee is clear: “I don’t think bitcoin has peaked yet.” He admits his team was too optimistic about hitting a new high before December 2025. But now, he sees January 2026 as the breakout month. Bitcoin hit its previous peak above $126,000 in October 2025. By December 31, it sat around $88,500. Today, it’s trading near $93,700.
Lee’s view challenges the bears who say the rally is over. He points to strong fundamentals. Bitcoin’s fixed supply, growing adoption, and spot ETF inflows keep demand high. After years of big gains, markets need time to “digest” before the next leg up.
- Past Prediction: In August 2025, Lee eyed $200,000 by year-end. It fell short, but the trend held.
- New Target: New ATH by late January 2026 – that’s over 35% from current levels.
- Key Driver: Institutional money flowing in after rebalancing.
2026: A Year of Two Halves for Crypto
Lee forecasts a bumpy but rewarding 2026 for crypto. The first half could be rough due to institutional rebalancing and a “strategic reset.” Big players like hedge funds and pensions adjust portfolios after 2025’s gains. This creates short-term volatility.
But Lee sees this as healthy. “That volatility sets the stage for the massive rally we expect in the back half,” he said. Think of it like a spring coiling before a leap. After the reset, expect explosive growth in Bitcoin, Ethereum, and altcoins.
This pattern isn’t new. Crypto cycles often show consolidation after halvings. The 2024 halving cut miner rewards, tightening supply. History shows rallies follow such events – 2017, 2021, and now 2025-2026.
Ethereum’s Turn: Entering a Supercycle?
Lee isn’t just bullish on Bitcoin. He’s very excited about Ethereum. “Ethereum is dramatically undervalued,” he claims. He compares ETH’s path to Bitcoin’s epic run from 2017 to 2021.
Last year, Lee predicted ETH at $15,000 by December 2025. It topped at $4,830 and ended near $3,300. Undeterred, his firm Bitmine Immersion Technologies bought more ETH. They now hold 4.14 million ETH – a big bet on the network.
“Acquiring an asset that can appreciate by 10 times or more is a strategic necessity for any modern treasury.” – Tom Lee
Why ETH? Upgrades like Dencun boost scalability. Layer-2 solutions cut fees, drawing DeFi and NFTs back. Staking yields add appeal. If Bitcoin leads, Ethereum follows with real-world utility.
Beyond Crypto: S&P 500 to Hit 7,700
Lee’s optimism spills into stocks. He predicts the S&P 500 at 7,700 by end-2026. That’s one of Wall Street’s boldest calls. Drivers include:
- U.S. Economy Strength: Low unemployment, steady growth.
- AI Boom: Productivity gains from tools like ChatGPT fuel earnings.
- Resilient EPS: Corporate profits beat bearish forecasts.
“There’s a lot to be optimistic about in 2026,” Lee says. Pullbacks? Buy the dip.
Market Signals Backing the Bull Case
Recent news supports Lee’s vibe. KuCoin hit record market share in 2025, with $1.25 trillion in volume. Trading activity outpaced the broader market – a sign of healthy liquidity.
XRP jumped 11% to near $2.40. Spot XRP ETFs saw $48 million inflows, pushing totals over $1 billion since November. Ripple’s win shows regulatory clarity boosting altcoins.
These trends point to rotation: Bitcoin stabilizes, alts catch fire. ETF approvals for more assets could pour in billions.
What This Means for Investors
If Tom Lee is right, now’s the time to position. But crypto is volatile – first-half turbulence ahead. Strategies:
- Dollar-Cost Average: Buy dips steadily.
- Diversify: Mix BTC, ETH, and quality alts.
- Hold Long-Term: Supercycles reward patience.
- Watch Institutions: ETF flows and corporate treasuries signal moves.
Risks? Macro events like rate hikes or geopolitics. But Lee’s track record – early Bitcoin calls, stock picks – earns respect.
Final Thoughts on
Tom Lee’s call for a
Markets love bold predictions. Will Bitcoin deliver? Stay tuned – January could change everything. What do you think? Share in the comments.
Prices as of early January 2026. Crypto investments carry risk. Do your own research.
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