WHY IS ETHEREUM SO SHY, IN THE FACE OF THE RISING OF BITCOIN AND OTHER CRYPTOS?
IS IT LOSING POPULARITY?
Currently, Ethereum (ETH) is not losing its popularity drastically, but it faces challenges in standing out, especially in times of high Bitcoin and other cryptocurrencies. This apparent "shyness" can be explained by factors such as:
Consolidation of Narratives: Bitcoin is often considered a store of value, which makes it more attractive in periods of general optimism in the market. Ethereum, with its smart contract network, is evaluated for its technological use, which may be more influenced by long-term developments. BeInCrypto InfoMoney. High Gas Fees: Although Ethereum has implemented significant improvements, such as The Merge, the issue of transaction fees may still drive some users away to cheaper and faster competing blockchains, such as Solana and Avalanche. BeInCrypto InfoMoney. Growth of Competitors: Platforms such as Solana, Avalanche and Arbitrum offer innovative and more scalable solutions, attracting developers and users looking for alternatives to Ethereum. InfoMoney. Coins that can rival Ethereum: Solana (SOL): Known for its high speed and low cost, it has gained strategic partnerships with companies such as Google and Visa. InfoMoney. Avalanche (AVAX): Focused on smart contracts and efficient subnets, it is consolidating itself in sectors such as gaming. InfoMoney.Arbitrum (ARB): Works to expand Ethereum's scalability, competing directly in its core functionality.
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Despite the challenges, Ethereum remains fundamental in the crypto ecosystem, especially with innovations such as re-staking and advances in its infrastructure, which demonstrates potential for recovery and expansion in the medium and long term.
