Sol is gaining popularity, can Ethereum still maintain its second place?
When talking about Ethereum now, many people look disgusted, just like the misunderstanding of Microsoft back then. You see, the ETH/BTC ratio has fallen to a three-year low. Ethereum's price has basically not moved this year, while Bitcoin has risen by 38%, and even Ethereum's competitor Solana has risen by 31%. This atmosphere is even colder than winter ice.
Why is Ethereum so miserable? There are several reasons. First, the November election is like a sword of Damocles hanging over its head. Bitcoin has passed the regulatory test, and even the chairman of the US SEC said it is not a security. But what about Ethereum? The SEC thinks that the pledged ETH is a security, and it is also very worried about Ethereum's decentralized financial ecosystem. If Harris wins and the Biden administration continues its skeptical attitude towards cryptocurrencies, Ethereum will have a harder time.
In recent years, the Ethereum community has focused on increasing transaction volume on the "Layer2" network, and has not worked hard on the core blockchain. This is indeed effective, and transaction activities on second-layer networks such as Base, Arbitrum, and Optimism have soared. But what was the result? The second-layer network took away all the transaction volume, and Ethereum's revenue fell to a four-year low. It's like Ethereum made the pie bigger, but others took away a large piece.
In terms of ETF, Ethereum is not as glorious as Bitcoin. Although the new ETF also raised billions, the 2.7 billion outflow from Grayscale Ethereum Trust offset all this growth
