$ETH $ETH On April 8, 320711429224, ETH has performed poorly recently, with significant fluctuations and declines in price. The 24-hour income plummeted, causing it to drop out of the top 20 cryptocurrency projects by income, which has garnered widespread attention from the market and raised concerns among investors. However, some top analysts remain optimistic about the future of Ethereum, believing that when its price drops to $2900, it may present a 'buying opportunity' and lay the groundwork for a substantial rebound.

Ethereum faces multiple challenges, including increasingly fierce market competition, with emerging cryptocurrencies showcasing unique technologies and application scenarios, taking away a portion of the market share. Its own technological development also faces bottlenecks, such as network congestion, high transaction fees, and insufficient scalability. Moreover, the economic model of Ethereum is threatened, as L2 scaling diverts L1 transaction activity and EIP - 4844 reduces data availability costs, leading to a sharp decline in mainnet gas fees and ETH burn rates, thus jeopardizing the profitability of the mainnet.

The Ethereum 2.0 upgrade is highly anticipated; if successful, it will adopt a proof-of-stake (PoS) consensus mechanism, which could improve transaction speed and efficiency, reduce energy consumption, and enhance scalability and security, regaining market favor. Additionally, Ethereum has already achieved significant