Why is Ethereum so weak?
I think there are three main reasons:
1. The competitor SOL is too strong. It is not that the SOL chain itself is strong, but that the dealer behind SOL is more powerful. SOL focuses on being close to the people in this round, and mainly relies on local dogs to support the activity on the chain. In fact, it is not high-end or popular, but it relies on pulling the market to attract users.
2. ETH's last bull market surge relied on decentralized finance (DEFI, pledge pressure, lending) and on-chain leverage. But this theory was made by regulators, and it survived by cutting off its arms. While the high leverage on the chain generates benefits, it also brings huge bubbles, and it survives by cutting off its arms.
Most importantly, ETH relied on continuous innovation before, and this round, except for the conversion to POS, there is no innovation.
3. After the ETF is passed, Grayscale has a potential sell-off. If I were a dealer, I would not pull the market at this stage.
In the long run, choosing ETH may not necessarily be bad. But in the short term, I will not invest in it before the ETF sells coins through Grayscale, because I know it is difficult to pull it up in the short term. During the plunge, the overall decline of Ethereum and SOL was actually similar, but before that, SOL rose more and Ethereum almost did not rise.
During the decline, Ethereum's short-term rebound was weak, while SOL's rebound was strong!
