As gold and silver soar, Tom Lee reveals the overlooked bullish signals in cryptocurrency fundamentals

Gold prices broke through $5,100, and silver has surged 55% since the beginning of the year — this is the most eye-catching trend in the traditional commodities market in early 2026. While market attention is focused on the parabolic rise of precious metals, Tom Lee, Chairman of BitMine and a well-known Wall Street analyst, has offered a different perspective.

01 Market Performance

As global attention is drawn to the shining glow of precious metals, cryptocurrencies are undergoing a silent but profound fundamental revolution. Tom Lee’s latest insights reveal this market illusion.

Gold prices have surpassed $5,100, hitting a new all-time high, while silver has soared to $110.39 per ounce, with a year-to-date increase of 55%.

This sharp rise is mainly driven by geopolitical uncertainties and safe-haven demand, with U.S. policy fluctuations and global trade tensions intensifying traditional investors’ risk aversion.

02 Deep Insights

Behind the noise in the precious metals market, Tom Lee has observed a neglected trend: the fundamentals of cryptocurrencies are quietly strengthening.

The veteran Wall Street analyst pointed out, “The parabolic and sustained rise of gold and silver is masking the continued strength of the underlying fundamentals of crypto assets (especially Ethereum and Bitcoin).”

This “masking effect” has led market funds and attention to overly focus on traditional safe-haven assets, while overlooking the structural changes happening in the crypto space.

Tom Lee’s view sharply contrasts with the general market perception. He believes this disconnect between fundamentals and price performance creates a unique investment opportunity window.

03 Institutional Deployment

The strengthening of crypto fundamentals is not unfounded but backed by tangible institutional actions. Tom Lee emphasizes a key signal.

At the 2026 Davos Forum, multiple financial institutions have explicitly signaled plans to build core business infrastructure on Ethereum and smart contract blockchains.

This indicates that the traditional financial world is taking blockchain technology seriously and integrating it into future financial architectures. This institutional recognition and adoption are among the core supports for the fundamentals of cryptocurrencies.

Notably, Tom Lee considers this “more of a story about Ethereum,” because blockchain with smart contract capabilities is viewed by financial institutions as having greater potential as a global financial “settlement layer.”

04 Trend Outlook

Based on in-depth analysis of market fundamentals, Tom Lee has made clear predictions about the future trend of cryptocurrencies.

He believes that as fundamentals continue to “move upward and to the right,” price increases are only a matter of time. This judgment is based on the macro trend of crypto assets transitioning from marginalization to becoming part of mainstream financial infrastructure.

Although he predicts a 10% - 15% correction in the first half of 2026, this is merely a normal adjustment within a long-term bull market, not a trend reversal.

Tom Lee even boldly forecasts Bitcoin could reach $200,000, with Ethereum having the potential to form a “parabolic” rally.

05 Market Performance

Despite the strengthening of crypto fundamentals, the current market remains in an early stage. Data provided by Tom Lee reveal this reality.

He points out that currently, only about 4 million Bitcoin wallets hold more than $10,000 worth of assets, while there are approximately 900 million IRA and brokerage accounts worldwide with similar asset levels.

This comparison highlights that large-scale adoption of cryptocurrencies is still in its early stages. As adoption increases, the crypto market still has enormous growth potential.

Tom Lee ranks cryptocurrencies alongside artificial intelligence, viewing them as the two leading “dominant, structurally strong trading sectors,” and believes they are approaching a true transformation phase.

Future Outlook

When gold prices climb to $5,100 per ounce, and silver rose 6.3% on January 27 to $110.39, the crypto market seemed calm.

However, the Ethereum blockchain is quietly building the future infrastructure for financial institutions. Tom Lee’s view aligns with the growing fundamental data: only about 4 million Bitcoin wallets hold over $10,000 globally, compared to 900 million such accounts in traditional finance.

This 225:1 gap represents a huge space for future growth of crypto assets.