Tom Lee Sees Q4 ’Monster’ Rally for BTC and ETH on Fed Cuts

Published: 2025-09-16 12:23:27 |

Fundstrat co-founder Tom Lee predicts a ’monster’ Q4 rally for Bitcoin (BTC) and Ethereum (ETH). He cites heightened sensitivity to monetary liquidity, seasonal demand, and an expected Federal Reserve rate cut. Lee likens current markets to the Fed’s easing cycles in 1998 and early 2024, where a 25 bp cut boosted liquidity and confidence. He labels Ethereum a growth protocol, underpinned by AI-blockchain integration, on-chain capital markets, and expanding Wall Street adoption. Fundstrat’s mining arm BitMine holds $10.77 billion in cash and crypto, including 2.15 million ETH. Traders should watch for liquidity-driven price movements, viewing BTC and ETH as top Q4 trading opportunities.

Bullish

Tom Lee’s forecast ties Bitcoin and Ethereum prices to Fed rate cuts and liquidity increases, historically bullish drivers. Heightened sensitivity to monetary policy and seasonal demand usually trigger short-term rallies, while Ethereum’s AI-blockchain use cases support long-term growth. BitMine’s significant ETH holdings reflect institutional confidence, potentially stabilizing the market. Traders may see increased volatility but overall bullish momentum in Q4.