Tom Lee Predicts S&P 500 December Melt-Up, Targets 7200–7300 as QT Ends and Liquidity Surges

COINOTAG News reports that Tom Lee, on CNBC’s Squawk Box, signaled a potential year-end melt-up in the S&P 500, targeting a range of 7,200–7,300 points. The analysis frames December as a window for outsized gains in risk assets.

Lee identifies three catalysts traders may overlook: liquidity, capitulation selling, and the window of time. He notes the strongest tailwind is the approaching end of quantitative tightening, with the Fed expected to cut rates and the balance-sheet contraction set to pause after nearly three years. If liquidity surges, broad-market participation could accelerate.

These macro dynamics could spill into the crypto market, with Bitcoin and Ethereum typically rallying alongside equities in a renewed risk-on regime. Such cross-asset moves are plausible, but readers should anchor expectations to policy signals, liquidity trends, and risk controls rather than chase momentum. In December, sustained momentum could invite FOMO buying in digital assets.

Source: https://en.coinotag.com/breakingnews/tom-lee-predicts-sp-500-december-melt-up-targets-7200-7300-as-qt-ends-and-liquidity-surges