COINOTAG News, November 7th – The latest analysis from 4E indicates that Ethereum, once celebrated as the “world computer,” is encountering significant developmental obstacles. Analysts highlight three critical challenges undermining its growth trajectory. First, Ethereum’s co-founder, Vitalik Buterin, has notably decreased his contributions to the code repository on GitHub, raising concerns regarding the project’s technical integrity. Second, the Ethereum Foundation has executed substantial sell-offs of ETH this year, which markets interpret as diminishing confidence in Ethereum’s enduring value proposition. Finally, as the leading blockchain for DeFi and NFTs, Ethereum is facing persistently low Gas fees and declining on-chain transaction volume, signaling a reduction in user engagement.
Experts caution that these interrelated factors could jeopardize Ethereum’s preeminence within the blockchain ecosystem. Although Ethereum maintains its status as the second-largest cryptocurrency by market cap, it must navigate increasing competition from emerging blockchain technologies. Investors are advised to exercise vigilance and monitor developments closely to assess Ethereum’s strategic direction.
