10 of 12 Ethereum Valuation Models Say ETH Is Undervalued; Metcalfe’s Law Targets Nearly $9,900

Published: 2025-12-01 22:42:28 |

Multiple valuation models compiled by ETHval indicate Ethereum (ETH) is trading below intrinsic value: 10 out of 12 models flag undervaluation. Metcalfe’s Law gives the most bullish signal with a $9,887 target, while a DCF staking-yield model forecasts $8,996. Other models place fair value between roughly $3,500 and $7,000 (Validator Economics $6,985; Settlement Layer $5,105; Commitment Premium, Composite Fair Value and App Capital near $5,000). Only P/S Ratio and Revenue Yield show ETH overvaluation (P/S at $917.2). ETH is trading under $3,000 and lost ~21% in 24 hours per CoinMarketCap. Market participants are watching the Fusaka upgrade scheduled for December 3 and on-chain data points to increased whale positioning; Ethereum ETFs have recently reversed a negative weekly trend. Key keywords: Ethereum, ETH price, valuation models, Metcalfe’s Law, Fusaka upgrade, staking yield, on-chain, ETFs.

Bullish

The article reports that 10 of 12 valuation models view ETH as undervalued, with top models (Metcalfe’s Law, DCF staking yield) projecting materially higher fair values near $9k–$10k. Such broad-model consensus can support bullish sentiment among traders, especially momentum and value-oriented participants. The imminent Fusaka upgrade adds a potential catalyst for price appreciation; on-chain whale accumulation and a reversal in ETF flows further reinforce buying interest. Short-term impact: volatility likely — price may remain pressured by recent 21% daily loss but could see sharp relief rallies if upgrade and ETF flows are positive. Traders may buy dips or set event-driven longs around the upgrade window, increasing bid-side liquidity. Long-term impact: if network fundamentals (active users, staking economics, settlement use) align with the valuation models, ETH could re-rate higher over months to years. Risks: valuation models vary in methodology and assumptions (Metcalfe’s sensitivity to user counts; DCF to discount/growth rates), macro/headline risk, regulatory developments, and failed upgrade execution could negate bullish expectations. Thus, while the signal is bullish overall, traders should manage position sizing, use stop-losses, and watch upgrade execution and macro liquidity for confirmation.