- Ethereum’s inverse correlation with oil hit a record low near -0.40
- Rising crude prices have coincided with ETH falling nearly 10% over the past week
- Tom Lee’s firm Bitmine bought another $154 million in ETH despite the downturn
Fundstrat’s Tom Lee believes soaring oil prices are currently putting heavy pressure on Ethereum, but he remains aggressively bullish on ETH’s long-term outlook anyway. According to Lee, the relationship between Ethereum and crude oil has reached historically unusual levels, with ETH now moving almost directly opposite to oil prices.
The inverse correlation reportedly dropped to around -0.40, the most negative reading ever recorded between the two assets. In simple terms, as oil prices continue climbing, Ethereum has been falling sharply.
Oil Prices Are Driving Macro Fear
The recent oil rally accelerated after geopolitical tensions surrounding the Strait of Hormuz pushed crude prices significantly higher. Since late February, oil has surged roughly 66%, with WTI crude briefly touching $108 while Brent crude climbed above $110.
During the same period, Ethereum fell from roughly $2,300 to below $2,120 as investors reduced exposure to risk assets amid rising inflation concerns and broader macroeconomic uncertainty.
Lee argues the relationship is largely tied to investor psychology. Higher energy prices increase inflation pressure and weaken appetite for volatile assets like crypto, causing capital to rotate defensively away from Ethereum and other digital assets.
Tom Lee Is Still Buying the Dip
Despite the short-term weakness, Lee described Ethereum’s recent pullback below $2,200 as an attractive buying opportunity. His firm Bitmine Immersion Technologies backed that conviction by purchasing another 71,672 ETH last week, valued at roughly $154 million.
That latest purchase increased Bitmine’s total Ethereum holdings to around 5.28 million ETH, representing more than 4% of Ethereum’s circulating supply. The company has now become one of the largest institutional ETH holders globally.
Lee continues pointing toward tokenization, staking, and agentic AI infrastructure as major long-term growth drivers for Ethereum. He also maintains an aggressive year-end price target between $9,000 and $12,000 for ETH despite current market weakness.
Ethereum’s Next Move May Depend on Oil
For now, many traders are closely watching whether oil prices begin cooling off in the coming weeks. If crude stabilizes or retraces lower, Ethereum could potentially recover alongside broader risk markets.
At the same time, if energy prices continue climbing and macroeconomic fears intensify further, ETH may remain under pressure regardless of bullish long-term fundamentals.
Either way, the growing connection between oil markets and Ethereum has become one of the more unusual macro stories developing across crypto in 2026.
