Tom Lee says the AI commerce is altering lanes. He factors to Ethereum (ETH) beating the Roundhill Reminiscence ETF (DRAM) by 72% in relative phrases this month, an indication of AI cash rotating into Ethereum.
ETH rose 24% in his chart window whereas the reminiscence fund fell 38%. Lee co-founded analysis agency Fundstrat and now chairs BitMine, one of many largest holders of ETH.
ETH Up 24%, Reminiscence Fund Down 38%
Lee shared the chart Monday in a put up. The 72% is the rise in Lee’s ratio chart. It divides BlackRock’s iShares Ethereum Belief ETF (ETHA) by the reminiscence fund. That ratio climbed from 100 to 172 between June 25 and July 21.
“The “AI downstream” relative efficiency continues to strengthen – $ETH vs $DRAM relative outperformance previously month gained to 7,200bp, or 72 proportion factors – ETH up +24% vs $DRAM ETF down -38%”
The DRAM ETF is new. Roundhill launched it in April as the primary fund constructed solely on reminiscence chipmakers. SK Hynix and Samsung alone make up about 41% of it, knowledge exhibits.
Traders piled in quick. The fund raised $6.5 billion in 27 buying and selling days, the quickest ETF launch on file. It peaked at $81.34 earlier than the slide. Lee’s 38% drop measures from June 25.
Ether, in the meantime, trades close to $1,921, up 1.5% in a day. BeInCrypto rankings knowledge exhibits ETH up 10.9% over 30 days. Lee’s greater 24% measures from June 25, when his chart begins.
ETH additionally sits 61% under its August 2025 peak of $4,946. So the winner of this commerce continues to be climbing out of its personal gap.
AI Cash Rotating Into Ethereum, or Only a Reminiscence Reset?
Lee’s case is easy. Wall Avenue is constructing on Ethereum, not simply buying and selling it. He factors to BlackRock’s tokenized BUIDL fund and Robinhood Chain, which pays its charges in ETH. That drives Ethereum’s institutional bull case.
He additionally compares ETH to Amazon, which sat close to $6 for 12 years earlier than its market grew. Large wallets lean his means for now. BitMEX co-founder Arthur Hayes resumed shopping for, including $2.53 million in ETH on Monday.
Nevertheless, the reminiscence story shouldn’t be lifeless. Jefferies expects reminiscence costs to climb about 50% this quarter. Provide is so tight {that a} US lawsuit accuses chipmakers of engineering a 700% DRAM worth spike.
The ETF’s slide could merely be a reset after a wild run. SanDisk sank 14%, Micron 5%, and Seagate 10% in a single July session on reminiscence provide glut fears.
One caveat. Lee’s BitMine holds 5.77 million ETH, about 4.8% of all provide. If his rotation name wins, he wins with it.
What settles the query? Reminiscence earnings and Ethereum ETF flows within the coming weeks.
The put up Is AI Cash Rotating Into Ethereum? Tom Lee Cites 72% Outperformance appeared first on BeInCrypto.