Ethereum Falls 1% As Tom Lee Predicts Rally To $9K Then $20K

The Ethereum value edged down by over 1% prior to now 24 hours to commerce at $2,927 as of 01:30 a.m. EST, with buying and selling quantity dropping 6% to $14.8 billion.

This comes as Fundstrat’s Tom Lee says that the value of Ethereum is ready for a rally, predicting that the value of ETH might surge to between $7,000-$9,000 in early 2026, because it soars to the $20,000 stage within the long-term.

These predictions come amid discussions of a possible supercycle within the crypto area, although Lee cautions towards overusing the time period.

“I don’t need to overuse the phrase supercycle,” Lee mentioned.

TOM LEE PREDICTS $200,000 BITCOIN AND $7,000–$9,000 ETHEREUM IN 2026

Tom Lee mentioned he expects Ethereum to succeed in between $7,000 and $9,000 in early 2026 and Bitcoin to hit $200,000 the identical yr, with Ethereum probably climbing to $20,000 over time. He added that whereas the… pic.twitter.com/z21nlo3YW5

— Crypto City Corridor (@Crypto_TownHall) December 27, 2025

In the meantime, the value continues to be down 2% within the final week.

This drop has additionally trickled all the way down to the spot Ethereum exchange-traded funds (ETFs). After recording large inflows on Monday, spot ETH ETFs have since recorded three consecutive outflows as Ethereum drops.

Can the prediction by Tom Lee play out, or is Ethereum poised for a continued drop?

Ethereum Value Faces Indecision Inside A Consolidation Zone

The ETH value bulls are in a interval of indecision after the asset fashioned a rounded high sample, having touched an all-time excessive of round $4,940 in August.

After touching its ATH, the Ethereum value then went by means of a correction, finishing the rounded high to fall to the $2,700 assist space.

This assist space has since acted strongly to maintain the value of ETH buying and selling inside a sideways sample, capped by the $3,300 resistance from late November.

ETH stays below bearish strain after forming a demise cross round $3,555 and nonetheless trades under each the 50-day and 200-day Easy Shifting Averages (SMAs).

Furthermore, the Relative Energy Index (RSI) is at present shifting above the 40 equilibrium ranges, at present at 43, and appears to be climbing, which is a sign that the value of ETH continues to be in a impartial zone.

In response to the ETH/USD chart evaluation on the each day timeframe, the ETH value is at present buying and selling inside a sideways sample in consolidation.

If the bulls use the present space as a zone of demand, Ethereum might surge to the $3,400 resistance space, with a long-term goal of round $3,584 throughout the 200-day SMA.

Nonetheless, if the bears proceed exerting strain and shut under the $2,700 assist, the subsequent doable cushion towards downward strain is on the $2,200 mid-year assist space.

Crypto analyst Ali Martinez, with over 164k followers on X, says that the value of ETH might drop additional to the $1,700 zone, which might be a great shopping for place.

$1,700 seems to be like an incredible spot to purchase Ethereum $ETH! pic.twitter.com/JHiQ7Y8TqL

— Ali Charts (@alicharts) December 26, 2025

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