Ethereum experts claim that the ETH price is "significantly undervalued," with a long term target of 80,000 Dollar.

## “Claims of being significantly undervalued”

Ethereum (ETH) technology experts claimed in a report aimed at institutional investors released this week that ETH is “significantly undervalued.” The 21 co-authors, including Vivek Raman, co-founder of the newly established think tank “Etherealize,” analyzed that the long-term price of ETH could reach $80,000 (with some views reaching up to $700,000) when compared to commodities like oil. (The following content is an excerpt from the report)

The report positions ETH as “digital oil” and points out that traditional technology stock valuation models are inadequate for proper value assessment. It suggests that comparing it with global reserve assets such as oil, bond markets, and M2 money supply can lead to a better understanding of Ethereum’s “ultimate destination.”

Source: ethdigitaloil

Ethereum currently accounts for a large portion of blockchain activity that has found product-market fit. It holds over 80% market share in stablecoins and the tokenization of real-world assets (RWA), covering approximately $770 billion in assets.

ETH functions not just as a token, but as collateral for the on-chain economy, computational fuel, and yield-generating financial infrastructure. Since the EIP-1559 (London) hard fork in 2021, the token burn mechanism has set an annual issuance cap at 1.51%, and the actual inflation rate is 0.092%, which is lower than that of fiat currencies and Bitcoin.

Source: ethdigitaloil

Experts have set a short-term price target for ETH at $8,000 and a long-term target of $80,000. The strategic ETH reserve supported by Ethereum co-founder Joe Lubin and others holds assets worth over $2 billion, and institutional investors are increasing their “stockpiling” similar to the strategy of Michael Saylor.

On the other hand, the report cited the complexity of the narrative (investment narrative), a temporary decline in revenue due to the transition to Layer 2, and regulatory uncertainty as reasons for ETH lagging behind Bitcoin. However, these headwinds are diminishing, and while the ETH/BTC ratio is near the lows of 2018, the on-chain value covered by Ethereum has reached ten times that of then.

Regulatory clarification, ETF approvals, and the wave of tokenization by institutional investors are serving as tailwinds. Major asset management companies like BlackRock’s BUIDL fund and Franklin Templeton’s FOBXX are launching Ethereum-based products, and ETH is transitioning from a speculative technology token to a core macro reserve asset.

Related: How to Buy Ethereum | Investment Benefits, Risks, and Recommended Exchange Selection for Beginners