Tom Lee Says Ethereum Is Grossly Undervalued as Tokenization Boom Takes Off

Tom Lee says Ethereum is undervalued as ETH trades below $2K, driven by tokenization growth and rising on-chain adoption.

Ethereum has dropped from almost $5,000 six months ago to below $2,000 today. The decline has renewed debate about ETH and its market value.

Fundstrat’s Tom Lee discussed Ethereum during a recent interview in Paris. He said the market may be overlooking the network’s role in finance.

Lee also linked his view to tokenization and future on-chain payments. He said Ethereum could be one of crypto’s most mispriced assets.

His comments came as Ethereum led tokenized stocks with $653.0 million in represented value. The market remains early, but activity is growing across blockchain networks.

Tom Lee Says ETH Price Trails Network Use

Lee said Ethereum’s lower price has not changed the network’s long-term role. 

He asked whether anything had really changed during the recent market decline. His comments focused on use, adoption, and future demand.

Six months ago Ethereum was almost $5,000. Today it's under $2,000. When I put that to Tom Lee in Paris, his response was: "Has anything really changed?"

Tom Lee (@fundstrat) is one of Wall Street's most-followed forecasters. While the market wrote Ethereum off, he made the case… pic.twitter.com/X4XPfO21F2

— Michaël van de Poppe (@CryptoMichNL) July 7, 2026

He compared Ethereum’s value with much larger traditional markets. Gold was cited near $22 trillion, while stocks were placed above $100 trillion. 

Real estate was also cited near $300 trillion in value. Lee said many traditional assets may move on-chain over time. 

He argued that Ethereum could support part of that move. In that context, he called a $300 billion Ethereum value “grossly undervalued.”

Tokenized Stocks Keep Ethereum Ahead

Ethereum leads the tokenized stocks market, based on the figures cited. The network holds about $653.0 million in represented stock value. That places Ethereum ahead of other blockchains in this category.

The future of finance is being built on @ethereum!

Every blockchain on this list deserves credit for pushing tokenization forward, and the competition is stronger than ever.

But Ethereum continues to set the pace.

Today, it leads the tokenized stocks market with $653.0 million… pic.twitter.com/II3a0NBXLG

— Everstake (@everstake_pool) July 7, 2026

Tokenized stocks are shares represented and transferred on blockchain networks. 

These products are still in an early stage of market growth. However, they are becoming part of the wider real-world asset sector.

The wider tokenization market also includes funds, bonds, credit, and property products. 

More firms are testing ways to move these assets on-chain. As a result, Ethereum remains closely watched by builders and institutions.

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Ethereum Price Analysis: Key $1.4K–$1.6K Zone in Focus as Rally Looms

AI Payments Add Another Ethereum Use Case

Lee also discussed AI agents using wallets for payments. He said this could become common within three years. These agents may need networks that can operate at all hours.

Ethereum already supports smart contracts, stablecoins, and decentralized finance tools. 

These systems can help move value between users and applications. Therefore, they may support automated payments in future on-chain markets.

Lee said Ethereum could become a $1 trillion, $2 trillion, or $5 trillion network. 

That outcome would depend on adoption, regulation, and wider market use. It would also depend on competition from other blockchain networks.