ETH Tests $3.2K But US Macro And Other Hurdles Remain
Ether is testing $3,200, but weak network usage and US economic uncertainty limit its potential to reclaim $4,000 soon.Summary
Ether (ETH) is struggling to sustain levels above $3,300, leading traders to doubt its ability to reach $4,000, despite Ethereum's leading position and recent upgrades. The price movement closely tracks the broader crypto market, suggesting the limitation is due to weaker overall decentralized application (DApp) usage rather than Ethereum-specific issues. Aggregate DEX volumes have significantly declined, pulling down Ethereum network fees, although the Ethereum ecosystem, including Layer-2 solutions like Base, Arbitrum, and Polygon, still dominates in terms of Total Value Locked (TVL) and overall DApp activity share. However, rival blockchains offer comparable functionality with lower friction due to base-layer scalability. For ETH to move past $4,000, renewed demand for blockchain applications and an improved broader cryptocurrency risk appetite are necessary amid ongoing US economic uncertainty.
(Source：Cointelegraph)