4 Factors that determine whether Ethereum will hit $2600 price level

1. Layer-2 Scaling & Interoperability

[{"selector":"#anim-e6c45324-3cb5-49ef-9df5-2040d60c1d13 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(0%, 25%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-bf833b40-9787-4872-85a2-530562a41aef","keyframes":{"transform":["translate3d(-100%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-8ff5ff37-e26c-4394-bddd-aabd5783fad4","keyframes":{"opacity":[0,1]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-cb2aa03a-6b41-46d7-97fc-305c492516ed","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-cf8ce13a-11e6-41c1-8ff8-5278dcd2b9e8","keyframes":{"transform":["translate3d(-100%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-2b5d2503-1d5c-4b0b-859a-e7abf6d5d207","keyframes":{"opacity":[0,1]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-1c1cec28-2eb4-4587-8865-fd8b590f3954","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] Ethereum battles high fees & fragmented liquidity. Competitors like Berachain & Hyperliquid , with $3B+ TVL each, lure users away. Seamless cross-chain integration remains critical.

2. Institutional Demand Drain

[{"selector":"#anim-621a78f8-dfb7-4de0-91b6-69fd0ef517b0","keyframes":{"transform":["translate3d(-98.09524%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-2c607a3b-8f4f-4c83-b5da-758c865ce0df","keyframes":{"opacity":[0,1]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-774d571c-cc7d-47be-961c-e93a952a8c63","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-016a1706-9c8c-415e-8e18-48a1ae2ef924","keyframes":{"transform":["translate3d(-100%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-e46ecf52-6e2b-4b02-8509-f3015838bc78","keyframes":{"opacity":[0,1]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-a5c5f68f-32ea-43cd-997a-c073819e097e","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-ff5c6217-06c0-496b-926e-211c9a316ed7 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(25%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] Spot ETH ETFs bled $406 million in outflows recently. Missing stake rewards makes ETH less appealing versus DeFi’s 4.5% stablecoin yields. A Solana ETF in 2025 could worsen outflows.

3. Weak Fee Burns & Staking Yields

[{"selector":"#anim-ec92a834-cdce-4d4b-90ff-b39111ffc2f0 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(25%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-e9383836-1e34-4687-a152-619777f62941","keyframes":{"transform":["translate3d(-100%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-ba5f8ee7-f757-4134-b5bc-4208d1cdfaa6","keyframes":{"opacity":[0,1]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-f1300826-696e-4e11-b4ff-fff019c54575","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-816692a4-3d49-4eca-bab8-d4d698464f86","keyframes":{"transform":["translate3d(-98.09524%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-c0a4855f-3322-49c4-8cda-b60a96b7fb7d","keyframes":{"opacity":[0,1]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-ebe7b3a2-7dd3-4f3e-b40e-7c9d53145a66","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] ETH’s 0.7% supply growth faces deflationary limits due to low network activity & weak fee-burning mechanism. Also, staking yields below 2.5% have reduced investor appeal.

4. DeFi’s Decline

[{"selector":"#anim-ae592f4e-417f-4719-b88d-c3d739e3dd74 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(15.547729550617227%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-4be43762-3fba-4c37-a93d-c84815339fc8","keyframes":{"transform":["translate3d(-100%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-005e761c-af18-4343-8b87-963a010e02ed","keyframes":{"opacity":[0,1]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-ee5bfed6-417a-48e8-bdfe-43667df747de","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-f0ac73c3-508f-443f-9da7-f8b13527fb85","keyframes":{"transform":["translate3d(-98.09524%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-ce8c64ec-4bcd-4666-a5be-8ba7e1545a62","keyframes":{"opacity":[0,1]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-be39e415-3b0e-4381-96bd-99565db25119","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] Solana’s memecoin frenzy highlights Ethereum’s scaling woes. DeFi TVL dropped $45B since late 2023, erasing Trump-era gains.

[{"selector":"#anim-ed26ede0-9610-431b-902a-56dbc02c6299 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate(-13.574647338668399%, 0%) scale(1.5)","translate(0%, 0%) scale(1)"]},"delay":0,"duration":2000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"forwards"}] [{"selector":"#anim-d6efc076-56a6-4aee-9c9c-9a5390a4a2f2","keyframes":{"transform":["translate3d(-101.2285%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-91061718-51b9-4a27-8b46-24fa57286b4a","keyframes":{"opacity":[0,1]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-a6dee4c5-0985-4e9e-88f6-82e1ca3cfd5a","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":100,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] In conclusion, Ethereum has strengths, but overcoming these challenges needs quick action. Market sentiment depends on signs of resilience. Learn more