Key takeaways:
-
Ether trades close to $3,200 as weaker community utilization and US financial uncertainty restrict its value upside.
-
Layer-2 networks drive most Ethereum exercise, however cheaper rival blockchains cut back the prospect of Ether reclaiming $4,000 quickly.
Ether (ETH) value has repeatedly didn’t maintain ranges above $3,300 over the previous 60 days, main merchants to query whether or not a sturdy bullish momentum remains to be achievable in 2026. Regardless of the Ethereum community rolling out necessary upgrades and sustaining its main place when it comes to deposits, buyers fear that the possibilities of reclaiming the $4,000 degree stay low.
Ether’s efficiency since November has intently tracked the broader cryptocurrency market capitalization. In consequence, the shortage of optimism seems to be pushed extra by weaker general decentralized software (DApps) utilization than by points particular to the Ethereum ecosystem. No matter whether or not merchants’ considerations stem from broader financial dangers, ETH value upside within the quick time period appears restricted.
Ether tracks broader crypto market amid weaker software utilization
Regardless of the elements influencing bullish crypto buyers, merchants have proven much less curiosity in DApps, as mirrored by declining exercise on decentralized exchanges (DEX). In accordance with DefiLlama, combination DEX volumes over the previous two weeks totaled $150.4 billion, down 55% from the $340 billion all-time excessive recorded in January 2025.
Ethereum 7-day DEX volumes have hung close to $9 billion after peaking at $27.8 billion in October 2025. This 65% pullback pushed Ethereum community charges down 87% to $2.6 million, from $21.3 million three months earlier. Even so, the Ethereum ecosystem continues to dominate, holding roughly a 50% share of DEX exercise when combining knowledge from Base, Arbitrum, Polygon and different layer-2 options.
Ethereum’s lead in whole worth locked (TVL) is powerful proof of institutional investor choice, whilst opponents comparable to Tron, Solana and BNB Chain generate larger community charges. Whereas some market members argue that Ethereum has failed to totally monetize its dominance in sensible contract deposits, this end result is essentially intentional and stems from its scalability technique constructed round rollups.
Associated: VanEck says policy clarity could make Q1 a ‘risk-on’ quarter
The variety of transactions on Solana exceeds the mixed whole of its high 10 opponents, highlighting the community’s reliance on intensive validation processes and a semi-centralized improvement construction led by Solana Labs. In accordance with Nansen knowledge, Ethereum processed 54.4 million transactions over a 30-day interval, whereas its layer-2 community Base recorded greater than 600 million transactions over the identical timeframe.
Ether’s two-month stretch buying and selling beneath $3,200 has been notably difficult for firms that raised debt or fairness to construct ETH reserves. Bitmine Immersion (BMNR US), for instance, presently holds $13.2 billion worth of Ether, whereas its shares commerce at a 9% low cost to the worth of these holdings, based mostly on CoinGecko knowledge.
It stays unclear what catalyst may shift momentum again in ETH’s favor, particularly as rival networks present comparable DApps and performance for common customers, typically with decrease friction as a result of base-layer scalability. Ether’s path again to $4,000 and past relies upon closely on renewed demand for blockchain functions and broader cryptocurrency danger urge for food amid ongoing uncertainty within the US financial system.
This text doesn’t comprise funding recommendation or suggestions. Each funding and buying and selling transfer entails danger, and readers ought to conduct their very own analysis when making a choice. Whereas we attempt to offer correct and well timed data, Cointelegraph doesn’t assure the accuracy, completeness, or reliability of any data on this article. This text could comprise forward-looking statements which can be topic to dangers and uncertainties. Cointelegraph is not going to be answerable for any loss or harm arising out of your reliance on this data.
