Crypto-Focused Research Firm Says Ethereum Is 'Significantly Undervalued'

Siamak Masnavi

On Tuesday (May 26), crypto-focused research boutique Blockfyre explained why its analysts believe that "Ethereum is significantly undervalued at current prices."

ETH-USD 24 Hour Chart on 27 May 2020.png

Blockfyre says its analysis is focused on the following four progress indicators for Ethereum:

  • Development Activity (developers keep improving Ethereum regardless of how the Ethereum price is doing)
  • Gas Used (activity on the Ethereum network keeps growing, mostly thanks to growing interest in stablecoins, which are mainly built on Ethereum) 
  • Mean Dollar Invested Age (investors like HOLDing Ethereum)
  • Miner's Balance (miners like HODLing Ethereum too)

The charts of these four progress indicators against the change in price of Ethereum over time leads Blockfyre to conclude that although the price of Ethereum has gone down a lot since its all-time high in January 2018 and Ethereum has been trading "sideways" since th end of 2018, these indicators paint a promising outlook for the Ethereum network and the Ether cryptocurrency.

Featured Image by "vjkombajn" via Pixabay.com