Fundstrat's Tom Lee predicts Ethereum's comeback as stablecoins gain ground, particularly in 2026 as the focus shifts due to expected interest rate cuts by the Federal Reserve.
Industrials, financials, and tech sectors are performing well and are poised to drive stock market gains in the near future, according to Lee.
Lee highlighted the importance of stablecoins in the crypto market, noting that Ethereum could benefit significantly if stablecoin adoption increases, given its role in stablecoin infrastructure.
Stablecoins, many of which are built on Ethereum such as USDC by Circle, are backed and encouraged by the U.S. government, potentially leading to a resurgence for Ethereum.