Tom Lee says the money flowing into AI is shifting from memory chips to Ethereum. The Fundstrat co-founder and BitMine chair points to a 72% relative outperformance of ETH versus the Roundhill Memory ETF (DRAM) over the past month. In his chart window from June 25 to July 21, Ethereum rose 24% while the DRAM ETF tumbled 38%.
The numbers behind the rotation
Lee's data shows the ratio of BlackRock's iShares Ethereum Trust ETF (ETHA) to DRAM climbed from 100 to 172 in that same period. That's a 72% swing. Ethereum itself trades near $1,921, up 1.5% on the day and 10.9% over 30 days. But it's still 61% below its August 2025 peak of $4,946. The DRAM ETF, which launched in April 2025 as the first fund focused solely on memory chipmakers, raised $6.5 billion in 27 trading days — the fastest ETF launch on record. It peaked at $81.34 before sliding.
Why Lee sees institutional drivers
Lee cites two concrete institutional moves: BlackRock's tokenized BUIDL fund and Robinhood Chain paying fees in ETH. He argues these are pulling AI-related capital into Ethereum. BitMine, which Lee chairs, holds 5.77 million ETH — about 4.8% of total supply. That's a big bet on the thesis.
Memory chipmakers under pressure
The DRAM ETF's slide isn't just about rotation. Jefferies expects memory prices to climb about 50% this quarter due to tight supply, but a US lawsuit accuses chipmakers of engineering a 700% DRAM price spike. Meanwhile, SanDisk, Micron, and Seagate fell 14%, 5%, and 10% respectively in one July session on memory supply glut fears. The sector's story is messy.
Arthur Hayes joins the buying
BitMEX co-founder Arthur Hayes resumed buying ETH this week, adding $2.53 million worth on Monday. He's not the only one piling in. The question now is whether the rotation holds — or whether the memory chip lawsuit and supply glut fears reverse the trend.
