Ethereum Although it is showing a slight upward trend again, the price is still below the $3,000 level. Despite price fluctuations over the past few weeks, certain structures and narratives reinforcing the values of major altcoins remain strong, increasing the potential for major upside.
ETH’s price base strengthens as TVL rises
In a dynamic cryptocurrency environment Ethereum Total Locked Value (TVL) It still emerges as a subtle yet powerful anchor for the long-term price stability of altcoins and the growth of their evolving ecosystem. Over the past few years, this story has remained strong, driving the price of ETH higher.
While near-term price action is still dependent on overall market sentiment, ETH's core value is strengthened by the consistent concentration of capital across the network. Milk Road, a cryptocurrency and macro researcher, stated The prices of altcoins have increasingly tracked the amount of capital present on the network.
These developments suggest that ETH's valuation is becoming more structurally supported and less speculative. As a result, network The price floor is maturing to a stage where it is primarily determined by usability rather than hype.
According to experts, if TVL expands meaningfully, the network economy will also see significant growth at the same time. This means deeper liquidity, a stronger collateral base, and more sustained demand for block space and network security.
Milk Road emphasized the following non-speculative capital: stablecoinTreasuries, real assets (RWA) and on-chain asset management are likely to be the main drivers of TVL rise. Meanwhile, ETH's bottom rises outside of a bull market as capital inflows from the region continue to scale.
However, entering a bear market appears to be more difficult. It is worth noting that when this happens, it strengthens the resilience of the wider ecosystem and also improves long-term valuation metrics.
Why You Should Not Be ETH Bearish
After looking at the value of ETH and the size of ETH Ethereum ecosystem Emperor Osmo, chart, data analyst and researcher; declare Despite the current market downtrend, being ETH bearish right now is not an ideal option.
Osmo's bold statement is: main shift Ethereum network fees. As block space becomes commoditized, the expert highlighted that ETH has moved from generating 90% of its fees at layer 1 to 2%. Despite these massive changes, networks continue to drive TVL and ecosystem growth.
According to the chart, ETH transactions amount to $353.2 billion, while the ecosystem built on top of the network trades for $330 billion, representing a 1.1x premium. According to Osmo, this trend assumes no growth, no value capture, and no liquidity inflow.
At the time of writing, the price of Ethereum was trading near $3,000 after rising nearly 1% over the past 24 hours. Trading volume is moving in the opposite direction to the ETH price, falling more than 13% the previous day.
Featured image from iStock, chart from Tradingview.com
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