Ethereum’s slump has attracted some haters. What they’re missing:
— Bitwise (@BitwiseInvest) September 18, 2024
– More than half of all stablecoins are on Ethereum.
– More than 60% of all DeFi assets are locked on Ethereum.
– Polymarket settles on Ethereum.
ETH looks like a potential contrarian bet through year-end 2024. pic.twitter.com/fJpguMCeNQ
A
A
Ethereum, Still The "Microsoft Of Blockchains"?
Thu 19 Sep 2024 ▪
3
min read ▪ by
Getting informed
▪
Ethereum is currently experiencing a turbulent period. Proof: the price of Ether is at its lowest level in 40 months. But despite these difficulties, some experts believe that criticism of the blockchain could soon seem “ridiculous”.
Ethereum facing its critics: a promising future?
According to Matt Hougan, it is easy to hate Ethereum right now. However, the Chief Investment Officer of Bitwise points out that despite the negative sentiments, Ethereum remains the most attractive blockchain for major 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 an indispensable player in the sector.
The recent numbers also show that developers are still massively engaged on Ethereum. This refers to more than 37,800 recorded GitHub commits. In comparison, Polygon (its main competitor) falls far behind with a 68% gap.
Competition with Bitcoin and Solana: a complex rivalry
In 2024, Bitcoin (BTC) recorded a 40% increase, while ETH grew by only 0.2%. The ETH/BTC ratio is also at its lowest in three years, worrying some crypto investors. Yet, 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 reduced its revenues. Today, some wonder if this could weaken its economic model. In response to this, Hougan thinks that ETH crypto will bounce back (especially as the upcoming US elections could bring more regulatory clarity).
Sure, the market remains skeptical. Nevertheless, the solid fundamentals of the Ethereum blockchain could make it bounce back in the coming months. To be continued…
Maximize your Cointribune 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.
A
A
Je m'appelle Ariela et j'ai 31 ans. J'oeuvre dans le domaine de la rédaction web depuis maintenant 7 ans. Je n'ai découvert le trading et la cryptomonnaie que depuis quelques années. Mais c'est un univers qui m'intéresse beaucoup. Et les sujets traités au sein de la plateforme me permettent d'en apprendre davantage. Chanteuse à mes heures perdues, je cultive aussi une grande passion pour la musique et la lecture (et les animaux !)
DISCLAIMER
The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.