Crypto analyst Tom Lee anticipates that Ethereum could climb to $5,500 in the coming weeks. This prediction is fueled by increasing institutional activity and positive regulatory changes. Notably, the approval of spot ETH ETFs has led to significant inflows from institutional investors, with approximately $455 million flowing into the market on a single day. Lee, CEO of BitMine Immersion, attributes this surge in price to institutional interest alongside the clarity provided by recent regulatory actions. 4Q crypto performance trends and historical data have also bolstered his prediction. He further notes that Ethereum could reach $10,000 to $12,000 by year-end. Lee’s insights are supported by growing institutional involvement in the market and positive indicators such as increased staking activities, which account for around 29% of Ethereum’s supply. This suggests a relatively constrained circulating supply. Lee’s prediction aligns with broader market trends. These include a historically strong performance during the fourth quarter for cryptocurrencies, further strengthened by ETF activity. The anticipated rise in Ethereum’s price could potentially stimulate gains in other cryptocurrency assets as well. Increased developer activity on Layer 2 solutions, seen in recent upgrades, adds to Ethereum’s ecosystem growth.