Bitcoin and Ether Anticipated to Surge in Q4 Amid U.S. Monetary Policy Changes

According to Cointelegraph, Bitcoin and Ether are poised for significant growth in the fourth quarter of 2025, driven by easing monetary policies in the United States. Tom Lee, co-founder of Fundstrat and chairman of BitMine, expressed optimism about the potential rally during an appearance on CNBC. Lee highlighted the sensitivity of Bitcoin and Ether to monetary liquidity and the influence of global central banks' easing measures, coupled with strong seasonality factors. Lee emphasized that the upcoming months could witness substantial movements in Bitcoin and Ether prices, describing them as potentially "monster moves." He noted that these cryptocurrencies might become standout trades for the remainder of the year, partly due to the Federal Reserve's anticipated rate reduction, marking the first such cut this year. Drawing parallels to September 1998 and 2024, Lee recalled instances when the Fed paused and subsequently cut rates, suggesting that a rate cut could reinject confidence by signaling a return to an easing cycle. The U.S. central bank is expected to announce a 25 basis point rate cut on Wednesday, although futures markets indicate a slim 4% chance of a larger 50 basis point reduction. Lee also addressed the risk-on nature of Bitcoin and Ether, noting Bitcoin's particular sensitivity to monetary policy and liquidity, while Ether shares similar traits. He elaborated on Ethereum's role in the evolving landscape, likening its trading behavior to 1971 Wall Street when the dollar departed from the gold standard, sparking innovation. Lee described Ethereum as a growth protocol, underscoring its significance in the convergence of AI and blockchain technologies. This perspective aligns with BitMine's strategy of aggressively acquiring Ether, as the company disclosed its substantial holdings in a recent update. BitMine reported $10.77 billion in cash and crypto assets, including 2.15 million ETH, amounting to $9.7 billion worth of Ether, representing nearly 1.8% of the total supply. Lee attributed Ethereum's potential supercycle to the convergence of Wall Street's blockchain integration and AI advancements, fostering a token economy. At the time of reporting, ETH prices were slightly over $4,500, experiencing a 2.7% daily decline but showing a 5% increase compared to the previous week.