Ethereum, the second biggest cryptocurrency, has spent the majority of 2026 in a state of pressure due to the wider market slump. In 2026, its market capitalization was roughly $230billion.
ETH surpassed its previous record of $4 953, on August 24, 2025. Since then, it has fallen to just $1,888. This represents a 62% drop from the record high.
Separately, ETH remained lower by 36% year to date.
Does ETH have a low value?
The Ethereum network has continued to grow despite the troubles with the token.
Alphractal statistics showed that Daily Transactions have remained over 2.5 million throughout the majority of this period. As of the press deadline, the network had processed 2,56 million transactions.
Daily Transactions was below 1.5 millions for much of last Year.
Ethereum’s network handled approximately 1.6 Million transactions daily, even at its peak in August.
Alphractal’s João Wedson, speaking on the development, pointed to those fundamentals as the core reason Ethereum trades well below fair value. He said.
Although you may not be bullish about the price of bitcoin, it is impossible to bearish the fundamentals as well as the actual adoption and use of blockchain.
Wedson believes that the same fundamentals will drive Ethereum’s performance in the next market cycle. He sees this move playing out throughout the “next two to three years.”
More capital is entering Ethereum?
Ethereum’s ecosystem continues to draw capital despite the weak performance of the token on the market.
DeFiLlama’s data indicates that as capital is invested in the blockchain, the value of the entire network increases. TVL has now absorbed $4.92bn in new capital since 1 July.
The same group of investors who earn the APY also has capital lock-ups that are on this scale.
Along with inflows of funds, the number Daily Active users has risen. This is a sign that Ethereum plays a greater role as settling layer for many transactions. Artemis has reported that daily active users have reached 581,00. This is one of the highest numbers since the end of June.
The demand for Ethereum could be strengthened by the continued growth of Daily Transactions (DT), TVL and Daily Active Users.
The validity of the Validator is a positive addition to your outlook
AMBCrypto reported Recently, we discussed how the fact that Ethereum validators have zero queues for exit could also be a factor in the rise of this asset.
Validators keep their ETH within the network. This decision is usually based on a long term view. This behaviour is different from what was seen during the peak of the crash, when validators had to wait 44 days for their ETH.
According to new data, validators are now committing tokens on the blockchain in quantities of approximately 2,52 million ETH. There is a 43 day waiting period.
Final Summary
- The sharp contrast between the 36% decline in ETH year-to date and Ethereum’s increasing network activity is striking.
- The Ethereum Exit Queue has almost reached zero. This is a sign that the Validator Demand is growing.
“This article is not financial advice.”
“Always do your own research before making any type of investment.”
“ItsDailyCrypto is not responsible for any activities you perform outside ItsDailyCrypto.”
Source: ambcrypto.com
