Fundstrat's Tom Lee predicts Ethereum to rise to $10,000

Fundstrat Global Advisors co-founder Tom Lee believes Ethereum (ETH) is trading below its potential value. He says the asset price could reach $10,000, which would represent a 300% gain from the current levels. 

According to Lee, Ethereum infrastructure supports numerous projects, including Circle’s stablecoins. The company is trading at about 100 times its earnings before interest, taxes, depreciation, and amortization (EBITDA). This reflects investor confidence in operations with such cryptocurrencies.

At the same time, Tom Lee says the multiple should be higher for layer-1 blockchains. The ETH price of $10,000 suggests that investors will value Ethereum’s base layer as highly as applications it supports. 

Meanwhile, Ethereum Foundation executives have announced plans to drive mass adoption and integration of decentralized finance (DeFi) through increased scalability and rollup dominance.