CoinInsight360.com logo CoinInsight360.com logo
America's Social Casino
The Coin Rise 2025-03-19 12:12:27

Ethereum Struggles as DEX Volumes Plummet and Competition Heats Up

Ethereum (ETH) is facing mounting pressure after slipping below the $2,200 mark on March 9, a level it has struggled to reclaim. The 14% decline in March has hit investor sentiment hard, especially as the broader crypto market has only dropped by 4% during the same period. One of the primary drivers behind this sluggish price action is the sharp decline in decentralized exchange (DEX) activity on its network. Over the past week, DEX volumes on Ethereum plunged by 34%, a trend that also extended to its layer-2 networks such as Base, Arbitrum, and Polygon. The slowdown wasn’t exclusive to Ethereum, as Solana’s DEX activity dropped by 29% and SUI’s by 17%. However, BNB Chain bucked the trend, recording a 27% volume increase, while Canto saw an astonishing 445% surge. Ethereum’s falling volumes were evident in individual protocols as well. Maverick Protocol saw an 85% drop, while DODO recorded a 46% decline. Most notably, PancakeSwap—the leading DEX on BNB Chain—overtook Ethereum-based Uniswap in fees generated. Over the past seven days, PancakeSwap brought in $22.3 million, surpassing Uniswap’s fees despite the latter’s broader multi-chain presence. This shift underscores Ethereum’s weakening position in the DEX sector, with falling fees reducing demand for ETH. Growing Competition Despite the recent challenges, Ethereum continues to dominate in TVL , with $47.2 billion in deposits. However, the network’s 9% weekly decline has significantly narrowed the gap with its competitors. Over the past week Solana’s TVL dipped by 3%, reflecting its exposure to the broader market slump. BNB Chain, on the other hand, recorded a 6% increase in deposits, highlighting its growing strength. Some of Ethereum’s key protocols saw notable outflows. Stargate Finance experienced an 11% TVL drop, while MakerDAO and Spark posted 9% and 6% declines, respectively. These figures reflect waning confidence in Ethereum’s DeFi ecosystem. Adding to the bearish outlook, ETH futures premiums—representing demand for leveraged longs—fell below the 5% neutral threshold, signaling weaker trader confidence. The current 3% annualized premium is the lowest in over a year, highlighting a lack of bullish conviction. Moreover, spot ETH ETFs recorded $293 million in net outflows since March 5, signaling declining institutional interest. Ethereum Faces Mounting Pressure Ethereum is also battling growing competition, particularly from Solana in the memecoin sector. The recent launch of the Official Trump (TRUMP) token on Solana has drawn attention, while Tron and Solana have collectively captured $75 billion in stablecoins, thanks to their lower transaction fees. Adding to Ethereum’s woes, Hyperliquid perpetual futures recently introduced its own blockchain, further challenging ETH’s dominance. With the Pectra upgrade on the horizon , Ethereum needs to deliver substantial performance improvements and lower costs to regain its competitive edge. The post Ethereum Struggles as DEX Volumes Plummet and Competition Heats Up appeared first on TheCoinrise.com .

Feragatnameyi okuyun : Burada sunulan tüm içerikler web sitemiz, köprülü siteler, ilgili uygulamalar, forumlar, bloglar, sosyal medya hesapları ve diğer platformlar (“Site”), sadece üçüncü taraf kaynaklardan temin edilen genel bilgileriniz içindir. İçeriğimizle ilgili olarak, doğruluk ve güncellenmişlik dahil ancak bunlarla sınırlı olmamak üzere, hiçbir şekilde hiçbir garanti vermemekteyiz. Sağladığımız içeriğin hiçbir kısmı, herhangi bir amaç için özel bir güvene yönelik mali tavsiye, hukuki danışmanlık veya başka herhangi bir tavsiye formunu oluşturmaz. İçeriğimize herhangi bir kullanım veya güven, yalnızca kendi risk ve takdir yetkinizdedir. İçeriğinizi incelemeden önce kendi araştırmanızı yürütmeli, incelemeli, analiz etmeli ve doğrulamalısınız. Ticaret büyük kayıplara yol açabilecek yüksek riskli bir faaliyettir, bu nedenle herhangi bir karar vermeden önce mali danışmanınıza danışın. Sitemizde hiçbir içerik bir teklif veya teklif anlamına gelmez