Bernstein named three reasons for the Ethereum rally

14.05.2025 Roman Petrov

#Bernstein#Ethereum (ETH)#Opinions

Analysts at Bernstein highlighted three main factors that led to Ethereum's growth of about 60% over the month. This is reported by The Block.

Specialists at the brokerage firm noted that the ratio in the ETH/BTC pair fell by 45% over the past year amid Bitcoin's dominance as a means of savings and a corporate reserve asset. Retail flows have shifted to faster and cheaper L1 networks like Solana.

Ethereum is 'stuck somewhere in the middle' in its role as neither the best store of value nor the most convenient platform for speculation, analysts led by Gautam Chhugani believe.

According to their assessment, the situation began to change, and three main factors had a significant impact:

  • the boom of stablecoins and tokenization;

  • institutionalization of L2 solutions;

  • closing short positions in Ethereum