3 reasons that point to the stagnation of the course

The context: Ethereum (ETH) is the second most important cryptocurrency after Bitcoin and the very first Altcoin. Since 2023, however, crypto as its ecosystem have been losing momentum in the face of increasing competition. Alexander Peresichan, CEO of Tehnobit, spoke with the Beincrypto team on the reasons for Ethereum’s weakness and evaluated the prospects for Altcoin. Alexander Peresichan first noted that the Crypto market, including Ethereum, is currently under pressure from several key factors. According to him, the absence of clear growth engines only exacerbates the situation. “Macroeconomic uncertainty plays against ETH. Increased uncertainty on the global financial market due to Donald Trump’s pricing war has struck high -risk assets, including cryptocurrencies. Ethereum has dropped accordingly, as well as other digital assets, “said Alexander Peresichan. Comparison of Bitcoin and Ethereum courses. TradingView according to him, the main problem of the ETH is that the play does not have time to recover at the same rate as Bitcoin. The expert believes that there are three main reasons for this abnormally stagnant behavior of Ethereum: decentralized finance (DEFI), which has long been the main engine of Ethereum, is not at best its form. The total blocked funds (TVL) in the DEFI protocols continues to decrease and investors are disinterested in this sector. The NFT market, another important engine of ETH demand, also undergoes a deep correction and the craze around digital collection assets is practically extinguished. Competitors, especially Solana, actively tear the users and developers of DAPPS. Solana is faster and offers lower transaction costs, and its ecosystem is developing rapidly. “Ethereum has no lively growth catalysts today. There is no technological breakthrough which would cause a craze around the ETH. Given the current drop in the crypto market due to the tariff wars, the chances that Ethereum is soon recovering at least at its previous levels, for example at 3,000 dollars, tend towards zero, “summed up the CEO of Tehnobit. Correlation between Bitcoin and other main cryptos in the sector. Source: Bitinfocharts as well, between the opinions of the actors of the sectors and the data at half mast of the Altcoin n ° 1, Ethereum seems to have a long road to make if he wishes to find his glory of Antant and keep his second place. Morality of history: A crypto in a face sign signs its death stop. Notice of non-responsibility Non-responsibility notice: In accordance with the guidelines of The Trust Project, BEINCRYPTO undertakes to provide impartial and transparent information. This article aims to provide exact and relevant information. However, we invite readers to verify the facts of their own and consult a professional before making a decision on the basis of this content.

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