Ethereum is currently going through a turbulent period. As evidenced by the fact that the price of Ether is at a 40-month low. But despite these difficulties, some experts believe that criticism of the blockchain could soon seem “ridiculous.”
Ethereum faces its detractors: a promising future?
According to Matt Hougan, it’s easy to hate Ethereum right now. Bitwise’s chief investment officer, however, emphasizes that despite the negative sentiment, Ethereum remains the most attractive blockchain for large companies.
Indeed, 60% of decentralized financial assets are still locked on Ethereum. That's not all! The central role of this cryptocurrency in the world of stablecoins and DeFi also makes it a key player in the sector.
THE recent figures also reveal that developers are still massively engaged on Ethereum. Reference is made to over 37,800 GitHub commits recorded. In comparison, Polygon (its main competitor) is well below with a 68% gap.
Competition with Bitcoin and Solana: a complex rivalry
In 2024, Bitcoin (BTC) saw a 40% increase, while ETH only gained 0.2%. The ETH/BTC ratio is also at its lowest for three years. Which worries some crypto investors. Still, Hougan remains convinced of one thing: when the next big company wants to develop a blockchain solution, it will still choose Ethereum.
On the other hand, the expansion of second-layer solutions on Ethereum has caused its revenue to decline. Now, some are wondering if this could weaken its business model. In response to this, Hougan believes that the ETH crypto will know how to bounce back (especially with the US elections approaching which could bring more regulatory clarity).
Certainly, the market remains skeptical. Nevertheless, the solid fundamentals of the Ethereum blockchain could make it rebound in the coming months. To be continued…
Maximize your Tremplin.io experience with our 'Read to Earn' program! For every article you read, earn points and access exclusive rewards. Sign up now and start earning benefits.
