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There is No Reason for BTC and ETH to be Correlated in the Future
Tom Lee needs a new approach to valuing ETH and BMNR
Charles R. Lightner3 min read·Just now--
Tom Lee is still presenting analyses of potential ETH valuations that are based on historical ETH/BTC price ratios. He then derives potential BMNR stock prices based on that approach to valuing ETH.
That’s a lazy approach that isn’t worthy of Lee or of BMNR stockholders.
As Chair of BMNR Lee presents the case of ETH as a productive asset, capable of generating a reliable and significant revenue stream for BMNR. And he looks to the ETH ecosystem for additional return opportunities. So BMNR becomes an asset-based generator of reliable income.
The discounted value of that income stream, it is suggested, should be added to the value of the underlying assets in considering the value of BMNR. And he points to that value dynamic as being clearly different from the value proposition of BTC. And I agree with him. It is.
That’s why I hold BMNR and am happy to do so. I’ve also held both BTC and ETH since late 2021 and have been accumulating both since then.
No one can deny the historical correlation between the prices of BTC and ETH, but valuation should look to the future and the future values of BTC and ETH have clearly different…
