A strong rebound in the stock market this April seems highly likely, according to Fundstrat’s head of research, Tom Lee.
Speaking in a recent interview, he pointed to historical trends that suggest a swift recovery is on the horizon.
Lee highlighted past market behavior, particularly events in early 2018, when investor sentiment and confidence dropped sharply. That period saw a sudden rise in the VIX (volatility index) and a stock market decline, but it quickly bounced back. He believes a similar pattern is unfolding now.
He also noted that a significant amount of cash—around $850 billion—has been moved into money market funds over the past year. In previous cycles, such large cash reserves have often flowed back into equities, fueling rallies. Looking further into the year, he referenced past tax reforms that helped drive stock gains in 2017, suggesting that similar economic catalysts could support a bullish trend.
With much of the recent panic already playing out, Lee is confident that stocks will regain strength in early April. He sees the conditions as ripe for a V-shaped recovery—a pattern where markets rapidly reverse from losses to strong gains.
The downturn earlier this month, which impacted both stocks and crypto, followed Donald Trump’s announcement of tariffs and his reluctance to dismiss the possibility of a recession. However, if history repeats itself, Lee believes the market could be on the verge of a sharp turnaround.
Alexander Stefanov
Reporter at Coindoo
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over 8 years of experience covering the crypto, blockchain and fintech industries, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics.
Source: https://coindoo.com/stock-market-poised-for-a-sharp-rebound-in-april-says-tom-lee/