As per data tracked by Matrixport, Ethereum’s average monthly revenue currently sits at $178 million, or 364 per cent lower than $826 million seen during the bull market days of 2021

Ethereum’s native token Ether dropped to a six-week low on Tuesday, with traders in the options market betting on price weakness over the next six months.

The second biggest crypto currency in terms of market value dropped to $1,815 during Asian hours, hitting the lowest level since June 21, as per CoinDesk data.

Ether’s six-month call-put skew, which gauges the spread between implied volatilities for call and put options expiring in 180 days, declined to -0.91, the lowest since June 15, as per Amberdata.

The negative value shows bias for put options, which give the buyer the right but not the obligation to sell the underlying asset at a predetermined price on or prior to a particular date. A put buyer is implicitly bearish on the market, while a call buyer is bullish.

The bearish skew comes as U.S. SEC looks to classify most crypto currencies other than bitcoin as securities, subjecting them to strict oversight.

Per Markus Thielen, head of research and strategy at crypto services provider Matrixport, says ether’s price seems highly overvalued contrary to its decreasing revenues.

As per data tracked by Matrixport, Ethereum’s average monthly revenue currently sits at $178 million, or 364 per cent lower than $826 million seen during the bull market days of 2021. Additionally, staking or locking coins in the Ethereum network in exchange for rewards is less beneficial compared to a few months back. That is because the average staking yield of 4.98 per cent is now less than the benchmark U.S. interest rate of 5.25 per cent-5.5 per cent.

Based on one quantitative approach, Ether’s fair value appears closer to $1,000 or 46 per cent lower than current prices ($1,856). While we do not necessarily forecast such a drop, there is a zero-cost way to position for this drop (zero-cost, but not zero-risk), Thielen stated.