Ether has been stuck in a seven-month-long downtrend, and competition between the largest blockchain networks could cause the world’s second-largest cryptocurrency to fall further.

According to Cointelegraph data, the price of Ether (ETH) has fallen by more than 36% in the past seven months, from its annual peak of $4,111 in March 2024 to its current level of $2,600.

According to pseudonymous crypto analyst Ignas, Ethereum is losing ground in the battle for layer-1 (L1) blockchain innovation. This could leave room for other L1 networks to grow.

Monolithic blockchains like Solana could become more attractive to investors due to the fragmentation of value caused by Ethereum’s L2 networks.

ETH is predicted to correct to $2,400. What do you think about this? Share in the comments!