Ethereum Paradox: Technology Goes Up, Price Goes Down
The#Dencunupgrade and#layer2solutions are expected to scale the#Ethereumecosystem and increase the value of #ETH. However, reality is showing the opposite story.
Before the Dencun upgrade was rolled out, the community was very optimistic about Rollup as a Service (#RaaS) and the DA (#DataAvailability) war. Layer 2 projects were expected to drive demand for data space on Ethereum by pooling layer 2 transactions, creating fierce price competition, and burning large amounts of ETH.
This is expected to turn Ethereum into a deflationary asset, sending ETH prices soaring – a win-win scenario.
However, the price trend of ETH after the Dencun upgrade was not as expected by the community. ETH price witnessed a significant decline.
ETH price not only failed to maintain the uptrend but also struggled to recover. Currently, ETH is trading at $2,482.
