I have been analyzing the current situation of ETH and we have things against and in favor.
Against:
- Slow and Expensive Network
- Inflationary (approximately 0.75% annual)
- Has not surpassed the highs of 2021
- Poly Markets estimates there is only a 17% chance it will reach a new ATH in 2025.
In Favor:
- Blackrock, Grayscale, Fidelity, and other big players have launched ETH ETFs.
- 51% of the total value locked in DeFi projects is in ETH.
- Despite everything, it still has a market cap of 213B and is number 2.
- 50% of circulating USDT runs on Ethereum.
My conclusion is that of course, if I were a developer and had to create a project, I would NOT do it on Ethereum. But at the same time, the large institutions mentioned above are investing in ETH and they know something we don't. Therefore, it's a matter of following the smart money.
I don't think it will reach a new ATH this year, but I think it will reach 4K.