Despite the rise, traders have maintained a neutral stance on ETH derivatives. It remains to be seen whether this apparent lack of conviction reflects a genuine trend reversal or merely precedes another test of the $2,000 level.#AltcoinSeasonComing
The future premium of ETH has yet to exceed the 5% threshold typically associated with a neutral market, indicating that the demand for leveraged long positions remains notably limited. The continuous underperformance of ETH — 17% below the market capitalization of altcoins in 2025 — helps explain the current lack of investor confidence.#BTCBackto100K
Some analysts interpret this as an opening for more short position coverage, while others argue that Ethereum's core fundamentals have not improved significantly.
Ethereum maintains leadership in decentralization and TVL
Regardless of Ether's price action, recent network updates have notably improved layer 2 scalability. More importantly, they have helped solidify Ethereum's position as the leading platform in terms of decentralization and security.
This is reflected in the total value locked (TVL) of Ethereum, which stands at $64 billion. For comparison, the three largest direct competitors — Solana, BNB Chain, and Tron — collectively hold a total value locked (TVL) of $22.3 billion.
The limited demand for exchange-traded funds (ETFs) of spot Ether has emerged as a fundamental warning sign. Even the strongest single-day price performance of Ether in four years could not prevent the third consecutive day of net outflows, according to data from Farside Investors. On May 8 alone, US-listed spot Ether ETFs recorded net outflows of $16 million.#ETH🔥🔥🔥🔥🔥🔥 $ETH
