The current prosperity of Ethereum has essentially evolved into a "hot potato" game sustained by massive liquidity pools. Like large corporations that have declined historically, its crisis is not solely due to external shocks but begins with internal ecosystem decay and rigidity. Once the "King of All Chains," its fundamentals now lack any moat advantages, and the market reversal has quietly taken place.

In recent years, the main theme in the crypto market has been "Ethereum suppressing other public chains," with challengers contemptuously labeled as "Ethereum killers." But now, the situation has shifted. Ethereum has failed to thoroughly eliminate competitors and has instead become prey to emerging public chains that are rapidly encroaching. High-performance chains like Solana are making great strides in low-cost, high-speed tracks; meanwhile, Ethereum’s Layer 2 solutions, which it once boasted about, are actually draining liquidity and value from the mainnet, reducing it to a slow and expensive "settlement layer." This internal fragmentation and infighting within the ecosystem are signs of systemic corruption.

From a user experience perspective, Ethereum’s complex account system, cumbersome cross-chain bridges, and fragmented asset management have already pushed ordinary users toward more user-friendly competitors. From a financial standpoint, its fundamentals are riddled with holes. High gas fees have not translated into benefits for token holders but have instead exposed its extremely fragile ability to generate value, especially under the pressure of institutional sell-offs and a lack of new capital inflows. It is no longer a profit-generating machine capable of sustained value capture but a massive entity bleeding out.

Capital’s intuition is the sharpest. When a project loses its absolute top position, it can no longer command the valuation premium once blindly granted by the market. Ethereum’s former dominance, which once held half the industry, is now being divided among numerous emerging players in niche sectors. It is no longer the only default option in Web3 but has become just one of many mediocre choices. Without faith and fundamental support, Ethereum is destined to become merely a chapter in the early days of blockchain fanaticism. $ETH #Gate广场四月发帖挑战