In a recent interview, Tom Lee, co-founder of Fundstrat, expressed optimism for a potential rebound in Bitcoin and Ethereum prices in March, despite the backdrop of increasing geopolitical tensions in the Middle East. Lee emphasized that historical trends indicate markets tend to recover swiftly after geopolitical shocks, arguing that staying invested typically yields better results than pulling out during such events.
Speaking on CNBC’s Squawk Box, Lee addressed growing fears among investors about the possible escalation of conflicts, including worries of a scenario akin to World War III. “A lot of experts are going to worry that this could encompass a larger conflict,” he stated. Nevertheless, he maintained that unless these dire predictions materialize, market recovery is likely. He pointed to early signs of weakness in sectors such as technology and cryptocurrencies as indicators that the market might be nearing a bottom.
Lee, who holds the position of chairman at Ethereum treasury Bitmine, remains bullish on the long-term fundamentals of Ethereum, citing increased activity and development on its network. “There’s so much being built on Ethereum now,” he noted, referring to the multitude of tokenized funds being launched on the platform.
His sentiments were mirrored by Jan van Eck, the CEO of VanEck, who also suggested that the cryptocurrency market may be experiencing a bottoming phase. Van Eck remarked that the recent surges in Bitcoin and key crypto-related stocks could signify that the downturn’s worst period has passed. However, he cautioned that 2026 aligns with a historically weak phase of Bitcoin’s four-year cycle, where prices tend to fall significantly after three consecutive years of growth.
Amid these discussions, markets experienced volatility following coordinated strikes by the U.S. and Israel on Iranian positions, driving traders towards traditional safe-haven assets. Gold saw an increase of over 2.5%, while oil prices rose above $80 per barrel. Analysts now suggest that Bitcoin’s price movement in the coming weeks will depend on sustained institutional accumulation. Abiodun Oladokun, a crypto analyst, noted that continued buying pressure could elevate Bitcoin prices significantly, potentially pushing them towards $71,642. Conversely, he warned that weakening demand or increased selling by miners could lead prices to dip below crucial support levels.
Despite Lee’s bullish forecast, his recent track record has faced skepticism. His previous high-profile predictions, including Bitcoin prices soaring to between $150,000 and $200,000 by late January, have not come to fruition, leading to questions about the feasibility of his current expectations. Similarly, his forecasts for Ethereum trading between $7,000 and $9,000 did not materialize as the cryptocurrency entered February just above $3,000.
The overall outlook for March remains uncertain as investors navigate the complexities of geopolitical concerns and market dynamics, with many keeping a close eye on institutional behaviors and demand trends.
