BitMine executive Tom Lee discussed Ethereum’s price outlook at Consensus, saying past downturns have always ended in sharp, “V-shaped” recoveries.
Summary
- BitMine executive Tom Lee says Ethereum is likely nearing a bottom, noting that ETH has recovered from every major 50%+ drawdown since 2018.
- Lee points to a potential “undercut” near $1,890 as a technical signal that the current sell-off could be close to exhaustion.
- Ethereum is trading near $1,900 support, with momentum indicators suggesting selling pressure is easing, though key resistance remains overhead.
Ethereum has always rebounded after major drops, says Tom Lee
Lee pointed out that Ethereum (ETH) has fallen more than 50% eight times since 2018, and in every case ETH recovered quickly after hitting a low. He suggested that the current decline is behaving similarly to prior drops and that the market may be close to a bottom.
The Bitmine exec referenced analysis from market timer Tom DeMarc, who believes a revisit to about $1,890, an “undercut” level, would signal a perfected bottom.
“If you’ve already seen the decline, you should be thinking about opportunities here instead of selling,” Lee said, showing his confidence that ETH will rebound again.
Lee emphasized that nothing fundamental has changed about Ethereum’s long-term trajectory despite the recent drop. He believes the current decline should also find a floor soon and transition into an uptrend.
While Lee did not provide exact timing, his comments reflect a bullish long-term view rooted in historical price behavior and technical undercut levels, offering some optimism to investors navigating near-term volatility.
Ethereum price action hovers near $1,900 support
Ethereum’s price has been trading near the $1,900–$2,000 range recently amid broader crypto volatility. At press time, ETH was trading around $1,965, fluctuating in a tight range over the past 24 hours and reflecting cautious sentiment among traders.
The daily chart shows ETH well below its 50-day simple moving average, which is currently positioned near $2,800 and acting as firm overhead resistance. This gap highlights how extended the recent sell-off has been.
The Relative Strength Index (RSI) has rebounded from deeply oversold territory. While RSI remains below the 50 mark, the recovery indicates selling momentum is slowing rather than accelerating.
Price action over recent sessions points to short-term base formation around the $1,850–$1,900 range. This zone has acted as support, with buyers stepping in to defend repeated dips. A decisive break below $1,850 would weaken the near-term structure and open the door toward the next support near $1,750.
On the upside, initial resistance sits near $2,000, a psychological level that has capped recent rebound attempts. Beyond that, stronger resistance emerges around $2,100–$2,150.
