The Crisis of Ethereum? Behind the Decline of Gas Fees, Ecological Activity Weakens, and 2025 Outlook is Worrying!

Matrixport's latest analysis points out that since the upgrade in March 2024, Ethereum's ecological activity has continued to be sluggish, and the decline in Gas fees directly reflects this situation. Meanwhile, trading volume has also shown no improvement, and ETH may face significant resistance in its bid for a strong rebound in 2025.

Old Lin takes you through the big picture:

Intense Competition: In 2024, Ethereum faces a strong 'sniping' from alternative protocols such as Solana and Sui. These projects have successfully attracted a large number of users with lower transaction costs and faster speeds, leading to their tokens outperforming Ethereum across the board.

Double Pressure: The decrease in Gas fees has not resulted in the expected boost in activity, combined with the strong growth of competitors, ETH's ecological expansion faces dual challenges. Without significant positive stimuli, Ethereum's long-term dominance may continue to be eroded.

Opportunities and Challenges in 2025: The next two years are a critical time for Ethereum to reverse its decline. Despite fierce competition, the development of Layer 2 technology and the entry of institutions may still provide ETH with opportunities for a turnaround.

Old Lin's Warm Reminder:

The turning point for Ethereum's ecology lies in breaking the deadlock, and investors need to pay close attention to the development of Layer 2 and major upgrade dynamics! Similarly, do not overlook the potential of emerging projects; diversifying your investments may be a smarter choice.

If you agree with Old Lin's analysis, feel free to give a thumbs up or share your support! The comment section is waiting for you to discuss: Can Ethereum maintain its king status in 2025?