How Experts Have Evaluated Ethereum's Prospects

The price of the cryptocurrency Ethereum has surpassed a four-month high of $3.55 thousand.

The Ethereum ecosystem and the decentralised finance sector have outperformed the memecoin category in recent weeks.

The Ethereum (ETH) price has surpassed a four-month high, posting growth of tens of percentage points since the beginning of November. Despite the fact that the momentum of the second-largest cryptocurrency by capitalisation has turned out to be one of the weakest among the top 10 largest this year, analysts have observed signs of a resurgence in investor interest. They also pointed to a loss of interest in memecoins, which could contribute to the return of liquidity in the Ethereum ecosystem.

The Ethereum's quotations stand at $3.55 thousand, the highest level since July 2024. In the past seven days, the price of ETH has risen by about 5 per cent, according to TradingView data as of 29 November, recording the best performance among the top five cryptocurrencies by market capitalisation. For the first time in four months, prices returned to the level before ETH-based ETFs began trading in the US.

In the last four trading days, from 22 to 27 November, Ethereum-based ETFs outperformed their Bitcoin-based counterparts. Amid the rise in the price of ETH, ETFs saw net inflows of about $225 million, $190 million more than Bitcoin-based ETFs as of 29 November.

"We have seen the return of capital on ETH," said Arthur Chong, founder, CEO and CIO of crypto asset investment firm Defiance Capital, as reported by The Block.

The So Called "Return-of-Money"

The term "return-of-money" reflects the growing confidence in Ethereum as a stable financial system. With the upgrade to Ethereum 2.0, the network has switched to the Proof of Stake (PoS), drastically reducing energy consumption and attracting environmentally conscious investors. In addition, the increased efficiency and scalability of the network has paved the way for wider use in areas such as supply chain management, gaming and NFTs.

Beyond DeFi

With its applications that allow users to lend, borrow and trade assets without the use of conventional intermediaries, Ethereum continues to be the foundation of the DeFi ecosystem. Recently, total locked-in value (TVL) in Ethereum-based DeFi projects exceeded $60 billion, indicating a resurgence of trust among both institutional and individual investors.