Geoff Kendrick Makes a Case for Ethereum: Network Upgrades Are Finally Delivering Real Results

Standard Chartered analyst Geoff Kendrick sees several compelling reasons to remain optimistic about ether despite recent weakness across the broader crypto market. While ETH has experienced headwinds in recent trading sessions, the underlying technological improvements and corporate buying activity suggest potential upside ahead.

Currently trading at $1.97K, ETH has risen 0.21% over the past seven days but remains down 10.57% year-to-date. Yet Kendrick argues this price action obscures a more meaningful story unfolding on the technical level. The shift in Ethereum’s on-chain activity represents a notable departure from how previous network upgrades have performed historically.

The Fusaka Upgrade Is Breaking the Pattern

Ethereum’s transaction volumes have climbed to fresh all-time highs in recent weeks, a surge that Kendrick attributes directly to December’s Fusaka upgrade. This technical improvement differs fundamentally from past upgrades, which often failed to drive sustained network growth over longer timeframes.

“Unlike previous iterations, Fusaka appears to be addressing genuine capacity constraints,” Kendrick noted, emphasizing that developers and users are now able to push through transactions at previously impossible rates. The upgrade has effectively removed bottlenecks that plagued the network during earlier cycles, creating space for new applications and increased activity.

This capacity expansion is significant because it demonstrates that scaling improvements can translate into genuine on-chain utility. Rather than merely technical enhancements on paper, the data shows real users are leveraging the additional capacity immediately.

Bitmine Immersion’s Continued Accumulation Signals Confidence

Beyond the technical narrative, Kendrick points to corporate buying as a reinforcing signal. Bitmine Immersion (BMNR), which functions as the largest institutional holder of Ethereum, has shown no signs of slowing its acquisition pace. During the company’s recent annual meeting, Chairman Tom Lee outlined plans for accelerated buying in the coming months.

The commitment from BMNR is notable given the current market environment. Rather than stepping back amid recent volatility, the company is doubling down on its Ethereum position. Kendrick sees this as a validation of long-term confidence from a major market participant with deep conviction.

Macro Tailwinds Creating Risk-On Sentiment

Kendrick’s bullish positioning is further reinforced by several macroeconomic developments that favor risk assets broadly. The resolution of Greenland-related tariff uncertainties and a rebound in Japanese bond markets following earlier selloffs have improved market sentiment. Additionally, the increased likelihood that BlackRock’s fixed income chief Rick Rieder could assume the Federal Reserve chairmanship adds another positive dimension.

“If Rieder takes the helm, the Fed would likely adopt a more accommodative stance,” Kendrick explained. “A hotter economic trajectory benefits assets like cryptocurrency and corporate accumulation programs like Bitmine Immersion.”

Combining these factors, Kendrick concluded that holding Ethereum and BMNR exposure into the near term presents an attractive risk-reward proposition for investors positioned to capitalize on the current technical and macro alignment.

Crypto Markets Expanding Beyond Traditional Boundaries

While Ethereum faces near-term volatility, the broader cryptocurrency ecosystem continues expanding into emerging regions. Latin America’s crypto market demonstrated particularly strong momentum in 2025, with transaction volumes increasing 60% to reach $730 billion annually. This growth reflects cryptocurrency’s expanding utility in regions where traditional financial infrastructure faces limitations.

Brazil and Argentina have emerged as regional leaders. Brazil commands the largest transaction volumes by absolute size, while Argentina’s market is accelerating due to increased cross-border payment adoption and rising stablecoin usage. In markets where access to stable currency alternatives is limited, cryptocurrencies serve critical practical functions—from international money transfers to receiving payments from global platforms like PayPal while circumventing traditional banking intermediaries.

Stablecoins have proven particularly instrumental in enabling these use cases, offering the stability and accessibility that users require for routine financial activities rather than speculative trading.