Ethereum is in complete chaos right now, completely crushed by SOL! I’m starting to suspect that Vitalik has secretly sold Ethereum to exchange for SOL.
Look at other cryptocurrencies; they are all recovering their losses, yet Ethereum is still hovering around 2500 yuan. From on-chain activity to coin price, Ethereum has been left far behind by SOL. Remember when Ethereum's price could reach 4000 yuan? Now? It's been almost a month just hovering around 2500. Half a year has passed, and Ethereum continues to decline; it's really frustrating!
Let's talk about a few key issues:
First, there is insufficient demand. Ethereum's L2 and Restaking cannot drive demand like the previous ICOs and DeFi did. L2 and the main chain are too similar, and trading activity is extremely low. Although Restaking locks up Ethereum, it hasn't attracted more assets priced in Ethereum, so demand is severely restricted.
Second, there is significant external pressure. The macro environment is becoming increasingly tense, and ETFs are flexible and free. Both new and old investors are cashing out through ETFs, pushing Ethereum's price even lower.
Third, the issues of the PoS era. In the PoW era, miners had high costs; if Ethereum's price fell below their costs, they wouldn't sell, which helped support the price. But in the PoS era, validators and stakers have low costs, and mainly use coin-based value, so there’s no clear “shutdown price,” making it hard to maintain a price floor, which puts pressure on Ethereum's price.
Fourth, historical legacy issues. After the ICO crash in 2018, Ethereum's core team became too conservative, just emphasizing orthodoxy and roadmaps. As a result, they created a half-baked entrepreneurial ecosystem with slow decomposition, insufficient liquidity, and returns that are worse than competitors, further degrading Ethereum's market performance.
