Etherealize experts believe that ETH is undervalued compared to its real value, while emphasizing Ethereum's outstanding advantages in various fields.
Etherealize predicts ETH price could exceed $700,000
On June 13, a nearly 80-page report published by Etherealize immediately created a huge buzz in the crypto community. Titled "The Bull Case for ETH", the report argues that ETH's price is currently severely mispriced and if its role is correctly recognized, the long-term value of this coin could reach over $700,000.
The stars are aligning for ETH:
— Etherealize (@Etherealize_io) June 12, 2025
⏩ $1.25bn ETF inflows over 19 straight days
⏩ Adoption as a treasury asset
⏩ Price turnaround (+100% from lows)
Institutions are noticing.
We've come together to tell the world why.
Introducing ETH: Digital Oil for the Digital Economy
(1/7) pic.twitter.com/P7uULWFZyJ
According to the report, Ethereum is not only the leading blockchain in the stablecoin and RWA fields, but also possesses strong structural elements in monetary economics, including:
- Limited supply growth after the EIP-1559 upgrade,
- Near-zero inflation (only ~0.092% per year),
- Potential to become a deflationary asset when ETH burned exceeds issuance during high on-chain activity periods.
While many view BTC as "digital gold", the report's authors offer a different perspective, suggesting ETH is the "digital oil".
Therefore, Etherealize co-founder Vivek Raman notes that investors are currently using outdated tech stock valuation frameworks to price an entirely new asset:
"Ethereum is not a company. It's a decentralized economy where ETH plays a role like oil in the digital world, serving both as fuel and a potentially profitable reserve asset.
We need to view Ethereum as a global financial infrastructure platform, similar to how the world views gold, oil, or government bond markets."
The author team argues that ETH cannot be compared to tech stocks like Web2 companies but should be valued like oil, government bonds, or M2 money supply - assets with value storage and economic operation capabilities. Based on this theory, when comparing ETH's market cap to macro assets like oil or M2 money supply, the report makes a shocking estimate:
- Short-term target: ETH could reach $8,000 to $80,000 when the market recognizes ETH's role as a reserve asset.
- Long-term target: In a "global adoption" scenario, ETH could reach an average of $706,000 per token, equivalent to a global digital reserve asset's role.
Moreover, this vision is reinforced by the fact that Ethereum currently dominates fields with clear product-market fit like stablecoins, tokenized assets (RWA), and decentralized financial applications. Over 80% of tokenized assets are operating on the Ethereum network, including major players like Circle, Anchorage, BlackRock, and Franklin Templeton. Raman observes:
"When you understand that ETH's supply has been growth-limited, you'll see this is an extremely safe and sustainable asset. And as on-chain activity becomes increasingly vibrant, inflation rates could drop from 1.51% to significantly lower levels, potentially even negative.
ETH's current lag behind BTC is just a temporary mispricing, not a structural weakness, and that's precisely the rare asymmetric investment opportunity."
The report was published at a time when the ETH market is experiencing positive developments, making the post even more attention-grabbing. However, in the past 24 hours, ETH's price recorded a drop of over 9.5% to $2,500 after Israel conducted airstrikes on Iranian territory, reigniting tensions between these Middle Eastern countries and causing the market to turn red.
ETH price movement in the past 24 hours, screenshot on CoinGecko on May 13 at 02:30 PM
Just yesterday, US Ethereum ETFs recorded net capital inflows of $240 million, surpassing Bitcoin ETFs for the same day. The positive sentiment towards ETH also stems from strategic changes within the Ethereum Foundation. The organization recently restructured its leadership, clearly separating the Board of Directors from the Executive team responsible for operations and strategy. This move is considered a necessary step to increase transparency and help the network respond more quickly to emerging challenges.
Additionally, the successful Pectra upgrade implemented in early May helped improve network performance, reduce transaction costs, and pave the way for further improvements. These reforms contribute to alleviating previous criticisms that the Ethereum Foundation was "impractical" and "disconnected from the community".
In addition, the enthusiastic sentiment of investors towards ETH is further boosted by the recent confirmation from the U.S. Securities and Exchange Commission (SEC) that Staking activities do not violate securities laws. This is considered an important stepping stone for the potential inclusion of ETH Staking in future ETF products, opening up opportunities to create additional income streams for investors. However, the SEC has not yet officially approved any Staking ETF proposals to date.
Compiled by Coin68
