Ethereum Could Drop to $1,800 by 2026, Fundstrat Internal Note Warns
A leaked Fundstrat client note predicts Ethereum could drop to $1,800–$2,000 in early 2026, sparking debate due to contrasting bullish public remarks by Tom Lee. The note suggests the dip may present buying opportunities.
Key Takeaways
- 1**Ethereum (ETH)**: $1,800–$2,000
- 2**Bitcoin (BTC)**: $60,000–$65,000
- 3**Solana (SOL)**: $50–$75
- 4Do the contrasting views reflect differing analytical perspectives within the firm?
- 5Are the projections and public statements based on different timeframes?
Ethereum Could Drop to $1,800 by 2026, Fundstrat Internal Note Warns
A recently leaked internal client note from Fundstrat Research has ignited discussions across the crypto community, forecasting a significant market correction in the first half of 2026. The note predicts Ethereum could fall to $1,800–$2,000, a sharp contrast to recent bullish public statements from Fundstrat co-founder Tom Lee. This divergence in outlook has raised questions about the firm’s unified stance on the crypto market’s near-term trajectory.
What We Know
The leaked note, shared on social media by Wu Blockchain via X, is titled “2026 Crypto Outlook: Near-Term Headwinds, Second-Half Upside” and is attributed to Sean Farrell, Fundstrat’s head of digital asset strategy. The document, timestamped December 17, 2025, outlines projected price corrections for major cryptocurrencies in early 2026:
- Ethereum (ETH): $1,800–$2,000
- Bitcoin (BTC): $60,000–$65,000
- Solana (SOL): $50–$75
The analysis describes these lower price levels as “attractive opportunities into year-end,” indicating that Fundstrat views the anticipated dip as a potential buying opportunity rather than a prolonged downturn.
Key Details
The leaked note has drawn attention due to its apparent contradiction with Tom Lee’s recent public comments. Speaking at Binance Blockchain Week, Lee described Ethereum at approximately $3,000 as “severely undervalued,” a stance that seemingly conflicts with the internal projection of a near-40% correction.
This discrepancy has fueled speculation about Fundstrat’s overall market outlook. While the internal note was intended for clients, Lee’s remarks were made at a public industry event, raising questions about whether the firm’s analysts hold differing views or whether the messaging is tailored to distinct audiences. It’s also possible that the projections reflect different time horizons, with Lee focusing on the longer-term potential of Ethereum.
The timing of the note is particularly noteworthy as Ethereum and other major cryptocurrencies face market uncertainty heading into 2026.
Unanswered Questions
The lack of public clarification from Fundstrat or its analysts leaves several questions unanswered:
- Do the contrasting views reflect differing analytical perspectives within the firm?
- Are the projections and public statements based on different timeframes?
- Is this a deliberate strategy to provide tailored messaging to different audiences?
As of now, neither Fundstrat nor its analysts have addressed the apparent inconsistencies between the internal note and Lee’s public remarks.
Why This Matters
Fundstrat Research is a respected financial analysis firm, and its market projections carry significant weight among institutional and retail investors. A correction of the magnitude described in the internal note would represent a major downturn from current levels, potentially prompting risk management decisions across portfolios.
For Ethereum investors, a drop to $1,800 would mark a substantial decline, testing market sentiment around the asset’s long-term value. However, if Fundstrat’s analysis proves accurate and these levels do represent “attractive opportunities,” it could pave the way for strategic accumulation ahead of an anticipated second-half rally in 2026.
This incident also underscores the broader tension in financial analysis between internal research for paying clients and public-facing commentary, especially when the two appear to conflict.
Key Entities
- Fundstrat Research: Financial analysis firm behind the internal note.
- Tom Lee: Fundstrat co-founder and prominent market analyst.
- Sean Farrell: Head of digital asset strategy at Fundstrat.
- Wu Blockchain: Crypto news aggregator that shared the leaked note.
- Ethereum (ETH), Bitcoin (BTC), Solana (SOL): Cryptocurrencies mentioned in the analysis.
- Binance Blockchain Week: Event where Tom Lee made bullish Ethereum comments.
- X (formerly Twitter): Platform where the leak was shared.
Sentiment
- Bearish: Short-term outlook for Ethereum and other cryptocurrencies.
Impact
This prediction could influence market sentiment and investor strategies significantly, given Fundstrat’s reputation.
