Ethereum Outlook for 2024

Ethereum is now calming down after the big event of its major upgrade. However, just like Bitcoin, there are also whispers that the price will rise further due to the expectation of the realization of a physical ETF.

Here, we will focus on the trend of approval of the much-anticipated physical ETF.

Current Status of Ethereum

Ethereum, which boasts the second largest market capitalization after Bitcoin, has entered a selling and adjustment phase at the time of writing after completing its major upgrade "Denkun".

In particular, the introduction of a mechanism called "ProtoDunk Sharding" has attracted attention in this upgrade. This will significantly reduce gas fees on Ethereum's layer 2 chain, which may lead to further advances in the use of DeFi and NFTs that utilize these blockchains in the future.

In fact, a significant reduction in gas fees has been confirmed on Ethereum's layer 2 chains, such as Starknet (STRK) and Base. Starknet achieved a 99% reduction compared to before the implementation of Denkun.

As activity on layer 2 chains becomes more active, it is possible that demand for Ethereum will increase even further in the future.