Simon Kim, founder of venture capital firm Hashed, has introduced a real-time dashboard that estimates Ethereum’s fair value at $4,747.4. Since Ethereum is trading at $3,022.3, the tool suggests an undervaluation of 56.9%. The dashboard is updated every two minutes and uses eight different valuation models.
The Ethereum Valuation Dashboard combines methods from traditional finance and crypto-native analysis. Kim strives for a rigorous valuation approach that reflects the broader institutional interest in fundamental analysis in crypto markets.
Dashboard combines traditional and crypto-native valuation methods
Kim’s dashboard contains eight models to assess Ethereum’s intrinsic value. Traditional financing methods include Discounted Cash Flow (DCF), which relies on strike yields, a price-to-earnings (P/E) ratio set at 25x, and Revenue Yield analysis. Institutional investors have long used these instruments to evaluate stocks and bonds.
The dashboard also uses crypto-specific metrics designed to capture blockchain dynamics. These include Total Value Locked (TVL) Multiple, Staking Scarcity, Market Cap to TVL Fair Value, Metcalfe’s Law and Layer 2 ecosystem valuation. Research from 21Shares shows that network-based models are gaining popularity as institutions try to quantify blockchain adoption and its effects.
Metcalfe’s law, which states that network value grows with the square of the user base, yielded the highest valuation of $9,583.6 and indicated that Ethereum was 217.1% undervalued. The DCF model came in at $9,067.8 – an undervaluation of 200%. Still, the P/E Ratio model suggested that Ethereum is 70.2% overvalued at $899.2, and the Revenue Yield indicated a 52.4% overvaluation at $1,438.8.
The composite fair value of €4,747.4 is calculated by weighting each model based on reliability; High reliability models are nine times more influential, average five times and low two times. These scores yielded five buy signals, one hold signal, and two sell signals for the eight models.
High reliability models include MC/TVL Fair Value, Metcalfe’s Law, DCF (Staking Yield), P/E Ratio and Revenue Yield. TVL Multiple has medium reliability, while Staking Scarcity and Layer 2 Ecosystem models have low reliability.
This approach highlights the difficulty of valuing cryptocurrencies. While traditional metrics such as price-to-earnings ratios and revenue multiples provide proven methodologies, they may miss crucial network dynamics. Crypto-native tools like Metcalfe’s Law propose frameworks rooted in blockchain adoption, although accurately measuring user activity remains a hurdle.
Market Data Reveals Changing Ethereum Fundamentals
Current market data shows that Ethereum has a price of $3,022.3, with a market cap of $365.4 billion and a 24-hour volume of $21 billion. The price remains 38.8% below the all-time high of $4,946.1. Ethereum’s market dominance stands at 16% and the ETH ($3,037.55)/BTC ($90,459.00) ratio is down 24.7% year-on-year to 0.03243. The dashboard also shows Ethereum’s circulating supply and currency reserves, as well as on-chain activity, including TVL and the amount of ETH staked.
Kim, CEO and Managing Partner of Hashed, has positioned the company as a leader in blockchain venture capital. His credentials include speaking at major industry events such as the AI Crypto Summit 2025 and KOOM 2025, where he represents Hashed’s technology-driven investment focus.
Prominent disclaimers on the dashboard emphasize that all valuation models have limitations. The tool advises investors to consider a range of factors beyond just quantitative analysis. This reflects the challenges of applying existing frameworks to a rapidly evolving asset class.
Recent price movements reinforce the need for robust analysis. ZebPay technical analysis reports that Ethereum broke away from a trading range of $2,350 to $2,750 in late November 2024 and rose almost 25% to $3,442 before finding support at $3,015. The main resistance is at USD 3,750, while USD 3,000 acts as crucial support.
The post Hashed’s Simon Kim Says Ethereum Is 57% Undervalued appeared first on BeInCrypto.
#Hasheds #Simon #Kim #Ethereum #Undervalued #BitRss #Crypto #World #News