Ethereum Faces Growing Challenges as Bitcoin Pulls Ahead

Ethereum continues to lag behind Bitcoin despite ongoing network upgrades, according to Matrixport’s latest market analysis.

Since shifting to proof-of-stake in 2022, ETH has struggled to keep pace, facing institutional hesitancy and rising competition.

While Ethereum’s technical improvements have enhanced efficiency, they haven’t driven significant price growth. Meanwhile, Bitcoin ETFs have gained strong institutional traction, whereas interest in Ethereum-based ETFs remains inconsistent, further contributing to ETH’s underperformance.

Newer blockchains with lower fees and faster speeds are attracting users, particularly meme coin issuers, putting pressure on Ethereum’s dominance in key sectors.

Despite these hurdles, Ethereum now surpasses Tron in USDT circulation, reinforcing its relevance in DeFi and payments. However, staying competitive in a rapidly evolving landscape remains a challenge.