Here’s What Might Hold Back Ethereum (ETH) From Hitting $5000 In Near Term

The world’s second-largest cryptocurrency Ethereum (ETH) has been intently following Bitcoin’s footsteps because it touched an all-time excessive of $4,800 earlier this week on Monday, November 8. Nevertheless, ETH at present appears to be like below a little bit of promoting stress missing sufficient help from the bulls to push it previous the $5000 milestone.

As of press time, ETH is buying and selling 1.76% down at $4,707 with a market cap of $560 billion. However one main roadblock to Ethereum’s additional rally might be its excessive fuel charge. The common price of the ETH fuel charge has touched the best in 5 months. As per on-chain information supplier Santiment:

Ethereum is sitting at ~$4,780 on the time of this writing, and optimism that $5k is across the nook seems excessive. One of many few issues holding $ETH again is the truth that the common community charge sits at $63.50, which was final this excessive on Might twelfth.

Ethereum Rivals Gaining Traction

Ethereum (ETH) has been one of many top-performing cryptocurrencies this yr in 2021. The Ethereum blockchain has witnessed excessive DeFi and NFT exercise this yr.

Nevertheless, the excessive transaction prices have been a deterrent for brand spanking new DeFi gamers. Thus, they’ve been shifting to different competing and various platforms like Solana (SOL), Polkadot (DOT), and plenty of others.

As now we have seen, Solana (SOL) witnessed a staggering bull run over the previous few months making its solution to the top-five crypto-list final week. Solana has emerged as a real Ethereum challenger with its excessive transaction throughput and low-cost transactions. Solana has additionally been the house for a number of DeFi protocols and has greater than $15 billion in total-value locked (TVL).

Different upcoming gamers within the section are Avalanche (AVAX) and Fantom (FTM). Nevertheless, Ethereum nonetheless stays miles forward in the case of dominating the general DeFi exercise.

However all eyes are at present on Ethereum 2.0 growth which can massively explode the community scalability whereas bringing down the transaction prices.