Institutional Crypto Buying Is Happening Quietly — A Positive Sign, Says Tom Lee of Bitmine

Tom Lee: Crypto Still in Early Adoption Phase, Market Far From a Top

Fundstrat co-founder and Bitmine Immersion chairman Tom Lee says the crypto market rally is just getting started, fueled by growing — yet largely unnoticed — institutional participation in both bitcoin and ether.

In an interview with CoinDesk TV, Lee pushed back against the idea that crypto is nearing a peak, instead calling the current rally “the most hated V-shaped recovery in history.” After markets fell on the back of President Trump’s tariff announcement earlier this summer, recession fears prompted many investors to exit risk assets. The subsequent rebound, Lee said, caught them off guard.

“Since 2020, investors have underestimated every recovery. This is no different,” he noted.

Lee argues that traditional finance is entering crypto quietly. Ethereum, in particular, is becoming a foundation for tokenization initiatives, with banks preferring its stability and legal clarity. “Ethereum has never had downtime. That’s critical for institutions,” he said.

Bitmine Immersion is positioning itself for that shift. The firm holds 625,000 ETH and $2.8 billion in assets with zero debt. It recently announced a $1 billion share buyback and aims to acquire 5% of the total ETH supply.

Bitcoin, trading near $114,974, is also being accumulated by institutional buyers, Lee said. He believes a policy pivot from the Federal Reserve — specifically, rate cuts expected in the coming months — could push BTC toward $250,000.

Lee currently values ether at $15,000 based on usage and network fundamentals, far above its current $3,700 level. Despite the rally, he sees the market as far from overheated.

“We’re not at the top,” Lee said. “We’re mid-cycle — and institutions are just getting started.”