- Tom Lee predicted Ethereum between $120 and $15,000, however Kang summoned the paper’s delusion.
- Kang argues that ETH charges stay flat regardless of a major enhance in adoption of Stablecoin and RWA.
- Opponents comparable to Solana, Arbitrum and Tether’s new chains have gained exercise within the chain.
Mechanism Capital co-founder Andrew Kang has launched a harsh criticism of Fundstrat’s Tom Lee following the bullish projection of the latter on Ethereum (ETH).
Throughout Korea Blockchain Week 2025, Lee pulled out the headlines with a daring prediction. Because of this whereas Bitcoin may surge from $200,000 to $250,000 on the finish of the 12 months, Ethereum may rise from $10,000 to $12,000, doubtlessly rising in the direction of $15,000 beneath favorable macro circumstances.
Deeply flawed paper
Nonetheless, Kang considers Lee’s paper to be deeply flawed. Within the prolonged commentary shared in X, Kang known as Lee’s Ethereum argument “one of many laggest mixtures of financially illiterate debates seen by analysts who’ve been looking ahead to some time.”
He additional accused Lee of offering “an unprecedented quantities of outlet liquidity” to Indigenous peoples of encryption, in addition to entities such because the Ethereum Basis and its co-founders, and evaluating it to the collapse of the Celsius community between 2021 and 2022.
Destroy Kan’s criticism
Lee argued that the expansion of Stablecoins and Tokenized Actual World Belongings (RWA) will drive Ethereum community charges. Lee additionally in contrast Ethereum to “digital oil.” Kang dismissed the analogy as deceptive, mentioning that inflation-adjusted oil costs have been buying and selling in a variety for over a century.
Kang countered that regardless of a 100-1000x enhance within the quantity of Stablecoin and RWA since 2020, Ethereum toll income has been practically flat as a result of community upgrades, migration of exercise to different chains, and inherently low transaction speeds for a lot of tokenized property.
Kang additionally mentioned that no main banks have bought ETH for his or her steadiness sheets, including that the banks is not going to purchase shares from the custodians they use.
Associated: Ethereum (ETH) Worth Forecast: ETH beneath main help
Lee additionally raised hypothesis that Ethereum might be price it someday, as a lot as all monetary infrastructure firms mixed. Kang dismissed this as “pure delusion” and “a basic false impression of worth era.”
Nonetheless, Kang agreed to Lee that ETH technical evaluation was useful, however accused Bitmine’s chairman of selectively utilizing it to substantiate bias.
He explains the Ethereum chart is trapped in a multi-year vary much like crude oil, suggesting that destroying latest resistance suggests weak momentum.
Associated: Ethereum Fusaka improve with scaling enhance scheduled for December third
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