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1 year after ETH ETF Approval: Where is Ethereum's future?
In May 2024, Ethereum Spot ETF Approval came. Everyone thought ETH would reach $10,000 that day. 1 year has passed. ETH is still between $3000-$4000. So did the ETF fail? Or is the real game still ahead?
What was the biggest Impact of the ETF's arrival? Trust. Before this, big companies and Banks could not buy ETH because of Legal complications. After the ETF arrived, companies like BlackRock, Fidelity, and Franklin Templeton are legally buying ETH. Now more than 15 Million ETH is Locked in ETFs. This has reduced Supply from the Market.
So why isn't the price rising? There are 4 reasons.
1. BTC Dominance: All the money is in Bitcoin now. History says that when the BTC pump ends, it is ETH's turn.
2. Layer 2 Problem: Transaction Fees on Arbitrum, Base, and OP are very low. So all Users have moved to L2. ETH Mainnet's Fee Income has fallen 80%. Investors are worried.
3. Staking Yield is low: Banks are offering 5% FD. So no one is doing 3% ETH Staking.
4. Competition: Fast Chains like SOL and SUI are eating into ETH's Market.
Even then, why is Ethereum still King? Because Web3 is still built on ETH.
1. 60% of DeFi's TVL is still on ETH.
2. 90% of NFT Projects are on ETH.
3. The most Developers still work on ETH.
4. The Pectra Upgrade is coming. This will reduce Gas Fees by another 50%. L2 will become even cheaper.
How will new Users view ETH? It would be wrong to think of ETH as just a Coin. ETH is the Computer of the Crypto Internet. Just as the Internet cannot run without Apple and Google, Web3 cannot run without ETH.
There will always be Volatility in the Short Term. But for those investing for 2-3 years, ETH is still the safest Bet. The real Impact of the ETF will be understood in 2026-2027, when big companies start holding ETH in their Treasury.
Do your Research. Understand it yourself. Then make a decision.

#Pectra #GateSquare #Cryptoboss1
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