Why is it difficult for Ethereum to reproduce its past surge?
Looking back at the last bull market, Ethereum soared 60 times, from $81 to a peak of $4,800, and it was very popular. But in this bull market, its increase was only about 5 times, from $881 to $4,000, and its momentum was not as strong as Bitcoin, which made many investors doubtful.
In fact, Ethereum will still rise in the future, but it will be difficult to replicate the crazy increase in the past. There are two reasons:
First, mature positioning and intensified competition: Ethereum has entered a mature stage from its start-up period, similar to large enterprises, and its growth rate has slowed down. It is not only a digital currency, but also a platform that supports many blockchain applications. With the challenges of market saturation and emerging public chains, its high-speed growth period has passed.
Second, the market value is huge and the growth is limited: The current market value of Ethereum is as high as 2.21 trillion US dollars, which is far less than Bitcoin's 8.86 trillion US dollars, but it is already quite large. In addition, the number of tokens continues to increase, just as mature companies find it difficult to reproduce explosive growth, and the space for its price to soar sharply is naturally limited.
In summary, in this round of bull market, expectations for Ethereum should be more rational, and its performance may be more stable rather than skyrocketing.
