Gate News reports that since the end of February, when the U.S. and Israel launched a war against Iran, Ethereum has performed exceptionally well, outperforming the S&P 500 and several major global asset indices. Tom Lee, Head of Research at Fundstrat Global Advisors and Chairman of Bitmine Immersion Technologies, pointed out in a recent video that now is the right time to sell gold and invest in cryptocurrencies.
Despite the overall cryptocurrency market shrinking by nearly half since last October, with Bitcoin down about 45% and Ethereum down nearly 60%, most popular meme coins dropping over 90%, Ethereum has actually risen against the trend since the outbreak of war. According to Fundstrat data, Ethereum has increased by 17% relative to the S&P 500 since the war began, outperforming gold, real estate, the MSCI World Energy Index, and major tech stock indices.
Tom Lee believes that Ethereum, as a wartime store of value, is more resilient than gold. He emphasized that although there remains uncertainty in the Middle East and misinformation is rampant, investors need to be cautious; however, in the long term, Ethereum still holds potential. He predicts that Ether could eventually reach $250,000. Bitmine has recently increased its holdings by $133 million in ETH, bringing its total ETH holdings to over $9 billion.
Several institutions also maintain an optimistic outlook, including global asset management giant BlackRock, which has invested part of its $14 trillion in assets into Ethereum ETFs. Institutional investors believe that Ethereum, as a tokenized core technology, helps lower the investment barrier. CEX Senior Researcher Tim Sun stated that progress at the protocol level continues, and market discounts more reflect changes in investor sentiment rather than a rejection of Ethereum’s core concepts.
Currently, the price of Ethereum hovers around $2,000, but as institutions and large investors increase their positions, and with heightened market risk aversion related to the war, market attention on Ethereum continues to grow, potentially creating short-term rebound opportunities.
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