Why Ethereum is underperforming?

[legend45]

Indeed, at the present, Ethereum gas fees have never been cheaper, with the help of factors like Ethereum 2.0 or layer-2 solutions. But Solana and TON remain competitors since they are capable of performing transactions in less time compared to Ethereum, and their fee rates are also much more affordable. But still, Ethereum has the upper hand in security and reliability which have been proved as years passed by, also the ecosystem is comparatively stronger. Yes, popularity of new networks is very important; especially where there is hype on certain project or certain coin but the strength of Ethereum from crypto industries’ perspective lies on stability and security. Keeping pace with innovation and improving the user experience is going to be a large challenge and opportunity for Ethereum in the future.

Ethereum gas fee is still expensive in my opinion, and ethereum dev should find a solution to this problem soon. Because Solana, TON and BNB are much cheaper, even though ethereum is the most secure and most popular. But if competitors start to increase their security and popularity, ethereum will be defeated one day.

[DJhen]

Indeed, at the present, Ethereum gas fees have never been cheaper, with the help of factors like Ethereum 2.0 or layer-2 solutions. But Solana and TON remain competitors since they are capable of performing transactions in less time compared to Ethereum, and their fee rates are also much more affordable. But still, Ethereum has the upper hand in security and reliability which have been proved as years passed by, also the ecosystem is comparatively stronger. Yes, popularity of new networks is very important; especially where there is hype on certain project or certain coin but the strength of Ethereum from crypto industries’ perspective lies on stability and security. Keeping pace with innovation and improving the user experience is going to be a large challenge and opportunity for Ethereum in the future.

Ethereum gas fee is still expensive in my opinion, and ethereum dev should find a solution to this problem soon. Because Solana, TON and BNB are much cheaper, even though ethereum is the most secure and most popular. But if competitors start to increase their security and popularity, ethereum will be defeated one day.

I agree that Ethereum gas fees are still quite expensive. While Ethereum is indeed the most secure and popular, developers should work on a solution to reduce fees, especially with competitors like Solana, TON, and BNB offering much cheaper transactions. If these competitors improve their security and continue growing in popularity, Ethereum could face serious challenges in the future

[MrSpasybo]

Ethereum gas fee is still expensive in my opinion, and ethereum dev should find a solution to this problem soon. Because Solana, TON and BNB are much cheaper, even though ethereum is the most secure and most popular. But if competitors start to increase their security and popularity, ethereum will be defeated one day.

Right now, Ethereum decentralization is being severely compromised as holders tend to deposit their ETH and stake in protocols such as Lido and Rocketpool. The Ethereum Foundation has proposed many solutions to encourage solo staking but has yet to succeed because holders have no desire to stake independently. They want something simpler and more convenient, and they don't want to sacrifice the liquidity of their ETH.

Transaction fees on Ethereum are no longer an issue as users who want to experience Ethereum security can turn to Layer-2s such as Arbitrum and Optimism with fees hundreds of times cheaper than Layer-1. Ethereum and its Layer-2s vast ecosystem will still easily attract users and investors. In fact, it's even more attractive than Solana and Ton because investors want to make a profit, not just save on transaction fees ^^

[luckyledger]

Transaction fees on Ethereum are no longer an issue as users who want to experience Ethereum security can turn to Layer-2s such as Arbitrum and Optimism with fees hundreds of times cheaper than Layer-1. Ethereum and its Layer-2s vast ecosystem will still easily attract users and investors. In fact, it's even more attractive than Solana and Ton because investors want to make a profit, not just save on transaction fees ^^

Yeah, I do agree, although these chains do have different fees and other notable details, ETH is a reliable source of new projects, albeit usually that are on the L2-side of the spectrum. Overall, the scalability of it remains unmatched.

[Mia Chloe]

Transaction fees on Ethereum are no longer an issue as users who want to experience Ethereum security can turn to Layer-2s such as Arbitrum and Optimism with fees hundreds of times cheaper than Layer-1. Ethereum and its Layer-2s vast ecosystem will still easily attract users and investors. In fact, it's even more attractive than Solana and Ton because investors want to make a profit, not just save on transaction fees ^^

Yeah, I do agree, although these chains do have different fees and other notable details, ETH is a reliable source of new projects, albeit usually that are on the L2-side of the spectrum. Overall, the scalability of it remains unmatched.

There are a lot of perspective s of the reasons for the under performance of Ethereum however if you are looking at the bigger picture from an economic view, you'll find out that Ethereum is literally supposed to do better in both price and adoption as to closest altcoin to bitcoin however it doesn't seem to be up to expectations because of the nature of its supply.

The Ethereum network has unlimited supply and based on my understanding of economics that's a problem too. Also looking at fees , Ethereum network has pretty high fees and I'm not 100% sure the reason why but I believe in it's part of the reason it's adoption isn't growing much.

[target]

Could it be because people are disappointed of ETH due to it shifting to POS?

But the whole crypto is underperforming except BTC. And most probably because institutional investors are still waiting for the election result because its when they can decide whether to go all in or not.

[legend45]

There are a lot of perspective s of the reasons for the under performance of Ethereum however if you are looking at the bigger picture from an economic view, you'll find out that Ethereum is literally supposed to do better in both price and adoption as to closest altcoin to bitcoin however it doesn't seem to be up to expectations because of the nature of its supply.

The Ethereum network has unlimited supply and based on my understanding of economics that's a problem too. Also looking at fees , Ethereum network has pretty high fees and I'm not 100% sure the reason why but I believe in it's part of the reason it's adoption isn't growing much.

Yes, ethereum does not show good movement, maybe because the supply of ethereum is too large so that the price does not match our expectations. Many people hope that the price of ethereum will soon reach $ 3K or $ 4K but it turns out that ethereum seems to have difficulty breaking through $ 3K again.

[MRY]

Indeed, at the present, Ethereum gas fees have never been cheaper, with the help of factors like Ethereum 2.0 or layer-2 solutions. But Solana and TON remain competitors since they are capable of performing transactions in less time compared to Ethereum, and their fee rates are also much more affordable. But still, Ethereum has the upper hand in security and reliability which have been proved as years passed by, also the ecosystem is comparatively stronger. Yes, popularity of new networks is very important; especially where there is hype on certain project or certain coin but the strength of Ethereum from crypto industries’ perspective lies on stability and security. Keeping pace with innovation and improving the user experience is going to be a large challenge and opportunity for Ethereum in the future.

Ethereum gas fee is still expensive in my opinion, and ethereum dev should find a solution to this problem soon. Because Solana, TON and BNB are much cheaper, even though ethereum is the most secure and most popular. But if competitors start to increase their security and popularity, ethereum will be defeated one day.

If we hear that others moan that gas fees on Ethereum are too high, then the answer is to look for other options on how to load the network. Additionally, we can use future Layer 2 solutions, including Optimism or Arbitrum; all of this can be done without moving into a different ecosystem. Other cheaper platforms that can also be used occasionally for SBI include, for example, Solana or BNB, while tracking the updates on Ethereum at the same time, including the one that are being developed that didn’t make made it to the list, for instance. By being able to select the best platform depending on our needs we are able to remain active in the crypto industry while not having to spend too much money.

[lombok]

Indeed, at the present, Ethereum gas fees have never been cheaper, with the help of factors like Ethereum 2.0 or layer-2 solutions. But Solana and TON remain competitors since they are capable of performing transactions in less time compared to Ethereum, and their fee rates are also much more affordable. But still, Ethereum has the upper hand in security and reliability which have been proved as years passed by, also the ecosystem is comparatively stronger. Yes, popularity of new networks is very important; especially where there is hype on certain project or certain coin but the strength of Ethereum from crypto industries’ perspective lies on stability and security. Keeping pace with innovation and improving the user experience is going to be a large challenge and opportunity for Ethereum in the future.

Ethereum gas fee is still expensive in my opinion, and ethereum dev should find a solution to this problem soon. Because Solana, TON and BNB are much cheaper, even though ethereum is the most secure and most popular. But if competitors start to increase their security and popularity, ethereum will be defeated one day.

Well, Some issues regarding the higher gas fees that Ethereum has as compared to some of the new-gen networks such as Solana or BNB are discussed, but then again one needs to understand why those fees persuade exist. To keep millions of users’ funds secure and process thousands of transactions daily, Ethereum has thousands of nodes distributed worldwide, which, of course, consumes more computational resources and costs more than other networks that can be less decentralized or secure to decrease expenses. According to data, Ethereum has been trying to work on scalability, in form of Ethereum 2.0 and layer 2 solutions such as Optimism and Arbitrum, which reduces the price of transactions while ensuring security. Considering this potential development, Ethereum is everything pursuing the middle ground where security and cost would be achieved so that Ethereum can become more profitable without compromising quality.

[Tomi amirsah]

There is some truth to that, because if the performance of cryptocurrencies is lackluster then it will cause crypto marketing to decline, and if Bitcoin goes down ETH will also experience a decline, and vice versa, because remember that ETH is the biggest crypto asset after Bitcoin.

[Jating]

There is some truth to that, because if the performance of cryptocurrencies is lackluster then it will cause crypto marketing to decline, and if Bitcoin goes down ETH will also experience a decline, and vice versa, because remember that ETH is the biggest crypto asset after Bitcoin.

Of course, Bitcoin is the king, and so there is trickle effect that is needed before Ethereum or any other coins will have a huge jump in price as well. Right now, there is a strong resistance to $3k, although it already had a huge increased because of the trickle effect that I'm saying as Bitcoin has a rally pushing it's price to a new all time high.

Ethereum is still 40% below it's last all time high, nevertheless, we have a full year in 2025 and many speculators predicting that it's going to be a huge run for Ethereum as well next year so let's just wait and see.

[Gurujebs]

There is some truth to that, because if the performance of cryptocurrencies is lackluster then it will cause crypto marketing to decline, and if Bitcoin goes down ETH will also experience a decline, and vice versa, because remember that ETH is the biggest crypto asset after Bitcoin.

Over the years, Bitcoin has always take Ethereum by its side but there was alot of misconception in the community like the team selling some of their Ether but Vitalik denied it that it was for donations and he don't purposely send out ethereum from his wallet without any reason because if he has that plan, it would have been from the foundation wallets.

It's still not bad, anytime Bitcoin has its party time Ethereum always follow later and now it's almost entering 3k, it's break that resistance rest assure ethereum run up in this bull run definitely.

[nakmantu99]

There is some truth to that, because if the performance of cryptocurrencies is lackluster then it will cause crypto marketing to decline, and if Bitcoin goes down ETH will also experience a decline, and vice versa, because remember that ETH is the biggest crypto asset after Bitcoin.

Over the years, Bitcoin has always take Ethereum by its side but there was alot of misconception in the community like the team selling some of their Ether but Vitalik denied it that it was for donations and he don't purposely send out ethereum from his wallet without any reason because if he has that plan, it would have been from the foundation wallets.

It's still not bad, anytime Bitcoin has its party time Ethereum always follow later and now it's almost entering 3k, it's break that resistance rest assure ethereum run up in this bull run definitely.

ethereum price is nearing $3k after bitcoin hit a new ATH of $76K. Ethereum has the potential to go higher if bitcoin remains relatively stable at $75K and above for a long time.
ethereum remains the second choice coin after bitcoin for long term investment, and we can buy BNB and Solanan to diversify

[vegasus]

ethereum price is nearing $3k after bitcoin hit a new ATH of $76K. Ethereum has the potential to go higher if bitcoin remains relatively stable at $75K and above for a long time.
ethereum remains the second choice coin after bitcoin for long term investment, and we can buy BNB and Solanan to diversify

Ethereum's price movement really follows Bitcoin's price movement. It's just that, indeed, Ethereum's price does not rise as fast as BTC, and conversely, its price decline or correction is usually not that drastic. Its movement can be said to be slower than some other altcoins which are known to experience a very significant and fast increase process. ETH is probably slow, but sure. Yes, because who doubts ETH. However, I am sure there are many people who remain loyal to ETH and make it one of the coins that we hold for the long term, for the peak of the bullish era later.

[erus]

Maybe when OP was writing this topic, the price of Ethereum was dumping so in my opinion OP tends to be pessimistic about Ethereum's performance, relax and be calm because we can see that now the price of Ethereum has increased and is starting to return to rank 2 on Coinmarketcap.
Ethereum's performance is still as usual because I see that Ethereum has not reached an all-time high, except maybe if Ethereum has reached an all-time high, I will definitely praise it by saying "Ethereum's performance has recovered and its price is now even". I am also sure that Ethereum will have difficulty reaching this all-time high if Bitcoin experiences a decline that occurs every week.