JPMorgan strategist estimates the fair value of ether at $ 1,500 in the middle of the competition of Ethereum Killers-
JPMorgan strategist estimates the fair value of ether at $ 1,500 in the middle of the competition of Ethereum Killers-
A strategist from JPmorgan indicated that the fair value of Ether is far below the current price. According to a number of measurements based on network activity, he calculated the value of $ 1,500, 55% lower than the market price. One of the reasons for this assessment is that Ethereum is no longer so unique and is exposed to hard competition by other chains such as Solana and Avalanche.
jpmorgan strategist considers ether
nikolaos Panigirtzoglou, Managing Director of JPMorgan, given that he thinks ( eth ), the native asset of the Ethereum network, is strongly overvalued. Panigirtzoglou took several measurements of the network activities and tried to convert them into a number that represents the atomic value of the financial value. He and his team estimated the fair value of $ 1,500, which is currently 55% below today's market price.
The strategist of JPMorgan believes that the price has risen into the future development of the project due to the trust of the market. He indicated:
We look at the hashrate and the number of clear addresses to understand the value of Ethereum. We are fighting to rise over $ 1,500. There is a question mark here. The current price expresses an exponential increase in use and data traffic, which may not come about.
Ethereum Killer in abundance and abundance
Part of this analysis is based on the idea that Ethereum's proposal is no longer so unique. Ethereum was a pioneer in the design and implementation of smart contracts on the cryptocurrency market. But this function is now shared by a series of chains that are referred to as the "Ethereum killer" and try to crack the market share of Ethereum by offering the same properties. Panigirtzoglou emphasized:
It's not unique. You are already seeing competition from Binance, Solana competition. And in the future it will be more.
While these Ethereum networks alternative Market has occurred, it could be difficult to beat Ethereum's network effects. Even with a little high risk capital ( vc) investment Most innovations still take place on Ethereum and then spread to other projects. This is the case with decentralized financing (Defi) and non -fungible tokens (NFTS), functions that were first appeared on Ethereum and then ported on other chains.
that Jack O’Holleran, CEO of Skale Labs, told insider. He indicated:
Despite the announcement of important partnerships on other chains, we still see that the absolute majority of developers are drawn into the Ethereum vertebrae.
What do you think of JPMorgan's valued fair price for ether? Share your opinion on this assessment in the comment area below.
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