Realistically, people would need to go out of their way to have an e-mail with the domain part longer than a hundred ASCII characters (although considering Punycode, this limit perhaps should be more like 200, for CJK domains...) so if they do, well, it's their problem.
I just don't like the idea of allowing to paste 20 MiB-long text into the input field for what normally is a "short line of text", so there should be some upper limit.