Key Points
Ethereum’s ongoing upgrades are aimed at long-term blockchain adoption. However, they are not having the immediate bullish impact on the market that some expected.
Analysts’ Observations
Ethereum (ETH) has had difficulty keeping pace with Bitcoin (BTC) since the Merge in 2022. This has disappointed those who anticipated bullish trends.
In a research note from Singapore-based blockchain firm Matrixport, it was highlighted that Ethereum’s upgrades have had minimal impact on its price. Rather than causing immediate market shifts, these upgrades are seen as incremental steps towards broader blockchain adoption.
Analysts have also noted inconsistent interest in spot Ethereum exchange-traded funds from Wall Street. Additionally, Ethereum has not been able to keep up with newer trends, as many choose to issue meme coins on more affordable networks.
According to Matrixport, Ethereum continues to face challenges in establishing its value proposition. However, there is some positive news. Tether issuance on Ethereum has recently surpassed that on TRON (TRX), even though the latter is a cheaper option.
As reported earlier, Ethereum has not been able to keep up with Bitcoin this year. It remains in a technical bear market after falling 22% from its 2024 highs. However, several factors suggest a potential bullish breakout, with some predicting that Ethereum could reach $5,000 in the coming weeks.
Historically, Ethereum’s price has performed well in February. Since 2019, it has posted positive returns every February, with an average growth of 17% since 2017. While past trends cannot guarantee future performance, there is increasing optimism in the crypto community that Ethereum could see gains in February.