Is Ethereum hopeless? Yes, it is.
Recently, when talking about Ethereum, many people said that "Ethereum is finished", which is a bit similar to those who were pessimistic about Amazon. In fact, although the spot ETF has been listed, the market response has been mediocre and the price has not improved much. It feels like no one really cares. Most investors are still waiting and watching. Not many people think it will have a big breakthrough in the future. This is very similar to when Amazon was just selling books. Who would have thought that it would become a global e-commerce and cloud computing giant?
Another point that everyone is talking about is that Ethereum is "sucked" by its L2. Now L2 accounts for most of the transaction revenue, and the main network only gets a small part. Matthew Sigel, the head of research at VanEck, even directly lowered the target price of Ethereum in 2030 by 67%, from the original $22,000 to only $7,334, which is simply a cold water.
Moreover, Ethereum has recently encountered inflation problems. According to data from Ultra Sound Money, in the past 30 days, the number of ETH burned by Ethereum is less than the new additions, and the overall supply is still increasing. If this trend continues, it may affect the long-term security of Ethereum, because once supply exceeds demand, the value of ETH will inevitably be affected.
However, some people are still optimistic about Ethereum, saying that it is like Amazon when it was just a bookstore, and people have not really realized its potential. Indeed, Ethereum has been centered on smart contracts from the beginning, and now it supports decentralized finance (DeFi), stablecoins, tokenized assets, etc., and there should be more and more application scenarios in the future.
In general, Ethereum faces considerable challenges, especially L2 diversion, gas fee reduction, and ETH inflation, but it is not possible to draw a complete conclusion. Perhaps with time and market maturity, we will see its end, that is, the end of no hope!
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