$ETH In recent months, Ethereum (ETH) reserves on layer two (L2) networks have significantly decreased, with the total ETH balance dropping by about 25%.

On the Optimism platform, ETH volume has dropped by 54% since March, while on Arbitrum and Base the declines were 17% and 14%, respectively.

Why ETH reserves are decreasing

According to The D*** R****t report, large L2 networks such as Optimism and Base have been experiencing a mass outflow of ETH since the beginning of 2025.

Analysis shows that one of the key reasons for this trend is the drop in prices of native tokens of layer two networks.

The OP token from Optimism has decreased in price by 38% over the last 90 days, while ARB from Arbitrum has dropped by 21%.

Investors are moving to other platforms, with some ETH returning to the main Ethereum network, which has a higher level of security and is considered safer.

The volume of ETH in staking and the number of long-term holding addresses have reached new highs, confirming the hypothesis that investors prefer saving strategies rather than active trading on L2 networks.

The movement of ETH from accumulation addresses is another factor contributing to the outflow of ether from L2 networks.

Data shows that large wallets are reallocating assets, and the number of coins on accumulation addresses (holders without a sales history) has reached a record level of 22.8 million ETH.

How outflows affect the Ethereum ecosystem

In 2024, layer two (L2) solutions were considered a threat to the main network: they attracted users with low fees and fast transactions. However, a reverse trend is now observed — activity in the main network is increasing.

This may strengthen Ethereum's position, especially after the successful Pectra upgrade last month, which improved performance and reduced costs. The increase in ETH staking — nearly 29% of the total coins in circulation are now locked — also reflects long-term trust in Ethereum.

If Optimism and Base fail to restructure and regain trust, their role in scaling will gradually diminish. If L2s do not adapt in time, they may lose their competitive advantage, while the main network will strengthen its leading position.

It has been reported that the Base network is already preparing for a major upgrade.

To regain investor confidence, layer two networks must focus on improving liquidity and reducing dependence on manipulable tokens.