Into the Ether
Key Takeaways
- After playing second fiddle to Bitcoin during the leading cryptoasset's run at all-time highs in late October, ETH finally got its moment in the spotlight as it surged from below $4,000 last week to reach a new all-time high.
- Activity on the Ethereum network has increased dramatically in recent weeks as reflected in transaction count and fees paid, indicating increased demand for blockspace.
- Bullish supply dynamics are also supporting ETH price. The Ethereum network surpassed 750,000 ETH burned since the implementation of EIP 1559 and experienced its first week of net negative issuance.
- Based on observed P/S multiples, we can ascertain that the Ethereum network is reasonably priced relative to its historical trading multiples.
- Bitcoin continues to trade at MVRV and P/B multiples well below historical market tops and is priced inexpensively as compared to traditional equity markets.
- Bottom Line: Based on fundamental valuation metrics, both ETH and BTC remain conservatively priced, and we expect a continued push towards BTC and ETH's respective price targets of $100,000 and $10,500 by year-end.
Ethereum Roundup
After playing second fiddle to Bitcoin during the leading cryptoasset's run at all-time highs in late October (excuse me, Uptober), Ethereum f...Unlock this article by joining our Community!
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