Ghuihzjinhzther (ETH) subperformed of the year, down more than 20%, but the fundamentals improve and the total locked value (TVL) on the Ethereum blockchain increased spectacular, said on Monday in a Research report.
“Although user activity has been volatile in recent weeks, the fundamental backdrop is not so troubled,” wrote Alex Saunders.
Citi noted that TVL on the Ethereum network has increased sharply, while the funds negotiated by ether (ETF) still see entries, and the interest of research increases.
After the US elections in November, ETHE flows have become positive, indicates the report, with total entries of $ 3.2 billion since July launch.
Stronger growth in users on the 22 and rival blockchain such as Solana raised questions about Ethereum’s competitive advantage, according to the report.
President Trump’s World Liberty Financial holds more than $ 200 million ether, which could be considered “additional motivation to ensure that the United States is strengthening its support for cryptographic industry,” the bank said.
“The relative performance of ETH and Altcoin can serve as a gauge for the industry optimist with regard to monitoring regulatory clarity in the United States,” added the report.
Citi noted that the weakness of the ether coincided with an increase in the domination of Bitcoin (BTC), which is now at multi -year summits greater than 60%.
Read more: Ethereum faces the “intense” competition from other networks: JPMorgan
