A new valuation tool developed by Simon Seojoon Kim argues that Ethereum is trading below its current price and that the asset’s “fair value” could be much higher.
According to the tool, Ethereum’s current price is around $1,976, while the “Composite Fair Value,” calculated by averaging all 12 models, is $4,730. This indicates that Ethereum is trading at approximately a 139% discount. The model output shows 10 indicators generating a “bullish” signal and 2 indicators generating a “bearish” signal.
The median fair value is calculated at $3,373, while the composite value based on a simple average is around $4,735. Kim’s tool allows investors to evaluate different financial and on-chain indicators together, instead of relying on a single metric.
Looking at the model range, the lowest value is calculated at $645.6 based on a 25x P/S ratio, while the highest value reaches $20,154.1 in the “Ecosystem Consensus (MV=PQ)” model.
The price of ETH has fallen by 40% in the last month.
*This is not investment advice.
