Tom Lee, Fundstrat founder, said Wall Street's move toward tokenizing more assets and blockchain-based settlement may shape the next crypto cycle, as banks explore changes to financial infrastructure.
Speaking with Altcoin Daily on Saturday, Nov. 7, Lee said he viewed the bear market as finished and considered a new bull phase underway. He sees the market's direction as tied to institutional use of blockchain systems.
Earlier rallies leaned on non-fungible tokens (NFTs) and stablecoins, Lee said. For this phase, he expects asset tokenization to spread across a wider range of holdings, alongside efforts to put settlement processes on blockchain infrastructure. He said those developments could draw financial institutions further into crypto-related systems.
Lee pointed to banks examining replacements for conventional settlement networks as evidence of the shift. The work remains nascent, he said, both for tokenized assets and for a broader redesign of financial infrastructure.
Lee also linked market phases to the relationship between prices and investor expectations. In his view, a bottom can form while sentiment remains negative if prices begin to recover. Widespread confidence without new reasons to support it, by contrast, may indicate that a market has advanced further through its cycle.
He cited ongoing advances in artificial intelligence and the benefits they can bring companies. Lee said adoption across technology, AI and crypto was set to keep widening into 2027, which he presented as evidence that the technological changes behind the market still had room to develop.
