The Ten Core Drivers of Future Development of Ethereum

With the shift in the US regulatory stance towards supporting innovation, Wall Street institutions actively entering the market, the acceleration of the technology roadmap, and the global macro environment becoming more accommodative, Ethereum is experiencing a confluence of multiple favorable factors. This article will analyze the development prospects of Ethereum over the next 3-18 months from ten aspects:

1. The regulatory environment has significantly improved

The new SEC chairman of the United States, Paul Atkins, supports cryptocurrency innovation and has withdrawn previous restrictive proposals regarding DeFi. The advancement of the "GENIUS Act" and the "CLARITY Act" provides a clear framework for the compliance of stablecoins and Ethereum. These changes significantly reduce regulatory risks and pave the way for institutional participation.

2. Institutional funds accelerate entry

Public companies like SharpLink Gaming are incorporating ETH into their balance sheets, becoming the "Ethereum version of MicroStrategy." The first batch of ETH futures ETFs has been launched, and a spot ETF is expected to be approved. Large asset management firms like BlackRock are also starting to allocate to ETH, with institutional funds accelerating their inflow.

3. Technical Perspective Returns Strong

The ETH price has once again risen above the weekly MA200, with multiple technical indicators showing that an upward trend has been established. Traders' confidence in ETH is recovering, and the downside risks are effectively controlled.

4. Accelerated Advancement of the Technical Roadmap

Pectra has upgraded and optimized Layer 2 scalability performance, supporting new features such as account abstraction. The mainnet Gas Limit is also gradually increasing, and TPS is expected to exceed 100. The advancement of the ZK technology roadmap lays the foundation for future scalability.

5. The macro environment is becoming more accommodative

The Federal Reserve is expected to start cutting interest rates in the coming months, with the benchmark rate likely to fall below 3.25%. This will make ETH staking returns relatively more attractive, while weakening the dollar, benefiting crypto assets.

6. The scale of staking continues to grow

The on-chain ETH staking rate is approaching 30%, setting a new historical high. The approval of the U.S. staking ETF will bring new institutional demand. The popularity of staking not only locks in supply but also enhances network security.

7. Layer 2 Ecosystem Thriving

Large enterprises such as Sony, Robinhood, and Coinbase have launched Layer 2 networks based on Ethereum. L2 transaction volume has surged, processing over 6 million transactions daily on average. The L2 strategy is expanding the influence of Ethereum.

8. Accelerating Mainstream Adoption

From the Trump family to European banks, and then to Asian exchanges, Ethereum is being increasingly adopted by mainstream institutions and political forces. This reflects its status as a global financial infrastructure.

9. Community governance continues to optimize

The Ethereum Foundation has undergone an organizational restructuring, introducing a more professional management structure. The newly established Etherealize organization focuses on connecting with Wall Street. Vitalik continues to promote technological innovation. All of these contribute to the long-term development of the ecosystem.

10. The deflationary mechanism continues to play a role

The EIP-1559 burn mechanism significantly slows down the growth rate of ETH supply, even leading to net deflation. Meanwhile, the network usage remains strong, and the demand for ETH continues to grow steadily. This supply-demand structure is favorable for the long-term strengthening of ETH prices.

In summary, from regulation, technology, capital to the macro environment, multiple favorable factors are creating advantageous conditions for Ethereum's development in the next 3-18 months. Ethereum is迎来 a new growth cycle.