Ethereum (ETH) is one of the leading blockchain platforms, famous for its ability to support smart contracts and decentralized applications (dApps). With important upgrades and strong ecosystem development, Ethereum is showing great potential in the future.
1. Ethereum's Potential
• Technological upgrades: The transition to Proof-of-Stake (PoS) mechanism through The Merge upgrade has improved performance and reduced energy consumption. Further upgrades such as Danksharding are expected to enhance scalability and reduce transaction fees. 
• Diverse ecosystem: Ethereum continues to lead the DeFi space, accounting for over 50% of total value locked (TVL) with protocols like Uniswap, Aave, and Curve. In addition, the platform has strong support for NFTs and metaverse projects like Decentraland and The Sandbox. 
• Involvement of large organizations: Companies like Visa, PayPal and JPMorgan are integrating Ethereum technology into their systems, showing confidence in the potential of the platform. 
• Deflationary Mechanism: After The Merge, Ethereum implemented a transaction fee burning mechanism (EIP-1559), reducing the supply of ETH and increasing the long-term value of the asset. 
2. Risks and challenges
• Competition from other blockchains: Platforms like Solana, Avalanche, and Aptos are growing rapidly with low transaction fees and fast processing times, creating significant competition for Ethereum. 
• High transaction fees: While Layer 2 solutions help reduce fees, Ethereum's Layer 1 transaction fees are still high, which can be prohibitive for retail users. 
• Legal risks: Ethereum's possible classification as a security in some countries could lead to legal restrictions, affecting the platform's growth. 
3. ETH Price Outlook
Currently, ETH price is hovering around $2,768.85. Analysts predict that if it breaks through the $4,000 resistance level, ETH could reach new highs, with a target of $13,000 by 2026.  Accumulation of large investors and institutional capital inflows into Ethereum ETFs also support this bullish trend. 
4. Conclusion
Ethereum is well-positioned to continue to grow and consolidate its leadership position in the blockchain space. However, investors need to carefully consider the potential and risks, and closely monitor market and regulatory developments to make sound investment decisions.