As per a report released by Grayscale, from a valuation perspective, the valuation of Ethereum can be said to be higher than that of Bitcoin when the spot Bitcoin ETF was launched in January. For instance, a popular valuation metric is the MVRV z-score. This metric is based on the ratio of a token’s total market capitalization to its “realized value”: the market value based on the token’s last on-chain movement price (rather than the price traded on exchanges).
Grayscale states that when the spot Bitcoin ETF was launched in January, its MVRV z-score was relatively low, indicating moderate valuation and potentially greater room for price increase. Since then, the cryptocurrency market has appreciated, with both Bitcoin and Ethereum’s MVRV ratios increasing. This may suggest that, compared to the approval of the US spot Bitcoin ETF in January, the approval of the spot ETH ETF may result in less room for price increase.
Tags
Ethereum
Grayscale
Spot Ethereum ETF
Source Link:
https://x.com/Grayscale/status/1799083107192344586
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