🏆 Dominant in the DEX field: Ethereum's market share fell in the third quarter. Can it regain its peak in the future?
CoinGecko's latest report on the crypto industry in Q3 shows that although Ethereum's trading volume fell by 19.6% in the third quarter and its market share continued to fall below 40% this quarter, the network is still the dominant chain for decentralized exchanges.
The main reason for this situation is that Ethereum is facing increasing competition from other blockchains in the DEX field, especially chains such as Solana Chain, Base Chain and Arbitrum.
Speaking of competition, other blockchain platforms are rising rapidly, especially those with popular meme coins. For example, Solana and Base have attracted a large number of users because of these meme coins. Solana's market share reached 22%, while Base's market share increased by 31.4% to 13%.
Interestingly, Tron has also joined the competition. With its meme coin generator SunPump, its market share has rushed to 2%. This shows that although Ethereum's position is solid, other platforms are also developing rapidly, providing users with more choices.
Although Ethereum's market share has indeed been affected, with a 3.6% drop in market share, this does not mean that its future is bleak. Because Ethereum's second-layer expansion solutions are growing rapidly, with transaction volume increasing by 17.2% in the third quarter alone, showing that users are turning to more efficient L2 solutions.
At the same time, some voices have recently been spreading panic on social media, saying that Ethereum is no longer viable, and some even say negative news such as "Ethereum is finished."
However, BlackRock CEO Larry Fink emphasized the growth potential of the Ethereum network in the company's third-quarter earnings conference call this month. This seems to suggest to investors that the story of Ethereum is far from over!
