Ethereum’s Rapid Rise to $500B: Why ETH May Still Be Undervalued

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1. Why is Ethereum considered undervalued by some analysts?

Ethereum secures the majority of onchain economic activity, yet its market cap does not fully reflect its role as settlement infrastructure for DeFi, stablecoins, and tokenization.

2. How does Ethereum compare to Bitcoin in valuation terms?

Bitcoin commands a larger share of total crypto market cap due to its simple “digital gold” narrative, while Ethereum’s broader utility has not yet translated into similar valuation dominance.

3. What technical levels are important for ETH right now?

The 200-day EMA near $3,338 is a key resistance, while the 50-day EMA around $3,154 acts as an important support level in the short term.

4. What happens if ETH breaks above the 200-day EMA?

A confirmed close above $3,338 could open the path toward $3,447 and potentially $3,592, reinforcing a bullish continuation structure.

5. What could drive ETH’s valuation higher into 2026?

A shift in capital allocation toward infrastructure assets, increased institutional usage, and recognition of Ethereum’s settlement role could help close the gap between utility and valuation.