Tom Lee stated that BTC and ETH are entering a long term super cycle.

Bitcoin (BTC) has made a strong mark on the financial market by increasing nearly 100 times since Fundstrat's recommendation at a price of about $1,000 in 2017, despite six corrections exceeding 50% and three deep declines over 75%. Tom Lee, the Chief Investment Officer of Fundstrat, currently states that Ethereum is following a similar development path.

Meanwhile, Hunter Horsley, CEO of Bitwise, pointed out that the market capitalization of Bitcoin – currently at $1.9 trillion – is still very small compared to hundreds of trillions of USD in global assets.

Discussion on the growth prospects of Bitcoin and Ethereum

Tom Lee has been with Bitcoin for nearly a decade, with a significant milestone being the buy recommendation at the price of $1,000 from Fundstrat. According to him, this initial investment has yielded a return of 100 times, despite undergoing many severe corrections that tested investors' confidence.

Lee emphasized that in order to capture such exceptional profits, investors must know how to overcome the “life-and-death moments” – that is, the phases of pessimistic psychology and strong sell-offs.

As of now, the market capitalization of Bitcoin is around $1.91 trillion, while the total market capitalization of the cryptocurrency market is $3.23 trillion. Nevertheless, this figure is still modest compared to traditional assets, indicating the strong growth potential that experts often mention.

According to Lee, the current weakness in the cryptocurrency market mainly stems from market makers facing balance sheet difficulties and being forced to sell, which is more of a technical issue than a fundamental one in a major growth cycle. In this context, he recommends that investors should limit the use of leverage, as it increases risk during periods of high volatility.

Data from Coinglass shows that the number of open Bitcoin futures contracts (Open Interest) is approaching 100,000, reflecting the continuous establishment of new positions, which may be a sign of optimistic sentiment. However, high open interest also means the potential for short-term volatility as the market reacts to changes in momentum.

Open contracts for Bitcoin futures | Source: Coinglass## Ethereum: Super growth cycle and inevitable fluctuations

Fundstrat is not only focused on Bitcoin but also believes that Ethereum is entering its own super growth cycle. The company argues that the development of Ethereum will not occur linearly, so investors need to prepare for significant fluctuations as the value increases in the long term – a trend that has previously been clearly evident in the growth history of Bitcoin.

Lee's perspective of “enduring life-and-death moments” is also completely relevant to Ethereum investors, as this asset has previously recorded a decline of over 80% from its peak. However, those who have patiently held on have been richly rewarded with impressive returns, reinforcing their confidence in a long-term investment strategy for high-quality digital assets.

Hunter Horsley: Bitcoin and the Four-Year Cycle Story

From another perspective, Hunter Horsley – CEO of Bitwise – positions the potential of Bitcoin in relation to traditional markets. He stated that Bitcoin's $1.9 trillion market cap is very small compared to $120 trillion of the stock market, $140 trillion of bonds, $250 trillion of real estate, and $30 trillion of gold.

With this weight, Bitcoin only accounts for a very small part of the total global investment assets; therefore, even small shifts from traditional assets to cryptocurrencies can create strong boosts to the value of Bitcoin.

Since the launch of the spot Bitcoin ETF funds at the beginning of 2024, the wave of investment from institutions has been increasing, with the participation of pension funds, sponsorship funds, and corporate treasury.

Horsley also mentioned the cycle of Bitcoin, which is often affected by halving events. According to him, selling before 2026 could disrupt these traditional patterns and open up a strong bull market in 2026.

Since the beginning of the year, Bitcoin has increased by 2.5% in 2025, indicating that the growth momentum is being strengthened.

Many factors such as limited supply, increasing interest from institutions, and the small share of Bitcoin in the total global assets have created a solid investment thesis.

Both Lee and Horsley emphasized that patience is the key factor, as the volatile market can easily lead investors to get caught up in the mentality of selling too early.

Mr. Teacher