Wall Street firm Fundstrat Co-Founder Tom Lee has predicted that Ether (ETH), the world’s second-most valuable cryptocurrency, was about to “rally strongly. “Ethereum will surge up to $1,900 by the end of 2019, which is 40 percent higher than the coin’s all-time high.
Basing his prediction on the historical performance of Ethereum, Lee said that the times when Ethereum“underperformed peers by two standard deviations,” the price trend saw a subsequent reverse.
In a note to clients of Fundstrat Global Advisors, Lee noted that the token, which has suffered a severe sell-off this year as investors retreated from the virtual-asset market, is about to bounce back.
Ether has lost half of its value in the past three months and has underperformed large-cap coins by two standard deviations, which could signal that it’s time for a rebound, he said.
Lee believes while ETH has underperformed its peers by two standard deviations, it’s “a sign of capitulation.”
Concluding Lee said, Ethereum will reach $1,900 by the end of 2019 — a price point that is at least 40 percent higher than Ethereum’s all-time high of $1,349.