The businessman attributed the price pressure to external factors, such as a reduction in leverage and the redistribution of capital into safe-haven assets.

"The price drop occurred amid increased network activity, which is uncharacteristic of a deep correction. On January 15, the daily number of transactions on the Ethereum network reached a record 2.8 million, and the number of active addresses reached a high of 1 million per day. During the 2022 crypto winter, both indicators declined, while over the past 12 months, the trend has remained upward. This means the price weakness is not fundamental," Lee explained.

Lee cited the lack of leverage recovery after the sharp market crash in October, as well as the wait-and-see attitude of investors, as other factors putting pressure on the second-largest cryptocurrency by market capitalization. As financing conditions normalize (with cheaper loans) and risk appetite returns, Ethereum could respond to a rebound in market appetite faster than other assets, the entrepreneur suggested.

Earlier, Tom Lee stated that a crypto market correction of approximately 15-20% is possible in the first half of the year, with a recovery expected only by the end of the year.