{"id":18430,"date":"2025-03-21T10:46:36","date_gmt":"2025-03-21T10:46:36","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=18430"},"modified":"2025-03-21T10:46:36","modified_gmt":"2025-03-21T10:46:36","slug":"why-ethereum-is-lagging-bitcoin-analysts-cite-inflationary-problems-dencun-upgrade-blowback-and-solanas-meme-coins","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=18430","title":{"rendered":"Why Ethereum Is Lagging Bitcoin\u2014Analysts Cite Inflationary Problems, Dencun Upgrade Blowback, And Solana&#8217;s Meme Coins"},"content":{"rendered":"<div>\n<p><strong>Ethereum <\/strong>(CRYPTO: <a class=\"ticker\" href=\"https:\/\/www.benzinga.com\/quote\/eth\/usd\">ETH<\/a>), the second-largest cryptocurrency by market capitalization, has charted a diametrically opposite trajectory when compared to its older sibling, <strong>Bitcoin <\/strong>(CRYPTO: <a class=\"ticker\" href=\"https:\/\/www.benzinga.com\/quote\/btc\/usd\">BTC<\/a>), over the past year.<\/p>\n<p>Consider this. Bitcoin has jumped 32% in a year, reaching an all-time high of $109,000. Its share in the overall cryptocurrency market has expanded from 52% to 60%.<\/p>\n<p>Ethereum, on the other hand, contracted 39% during the same time, reducing its market share from 16% to 8%.<\/p>\n<p>The widening gap has sparked discussions about Ethereum&#8217;s role in the cryptocurrency hierarchy and its future course Benzinga spoke to a few analysts to understand the factors contributing to the ecosystem&#8217;s ongoing downturn.<\/p>\n<h2 class=\"wp-block-heading\">The Inflationary Problem<\/h2>\n<p><strong>Jeffrey Hu,<\/strong> Head of Investment Research at digital asset manager <strong>HashKey Capital<\/strong>, believed the fault lies in Ethereum&#8217;s economic model.<\/p>\n<p>&#8220;The activation of EIP-1559 allows more Ether to be burned for deflation when Ether activity is high on Ethereum; however, in order to further support on-chain applications, Ethereum must scale,&#8221; Hu stated.\u00a0<\/p>\n<p>The Ethereum London Hard fork, dubbed <a href=\"https:\/\/www.benzinga.com\/markets\/cryptocurrency\/21\/09\/22898549\/what-happens-in-the-ethereum-network-after-the-eip-1559-launch-lets-find-out\">EIP-1559<\/a>, introduced a token burn mechanism for the network. Under this mechanism, the base fee, i.e., the minimum fee per transaction, is removed &#8230;<\/p>\n<p><a href=\"https:\/\/www.benzinga.com\/markets\/cryptocurrency\/25\/03\/44432826\/why-ethereum-is-lagging-bitcoin-analysts-cite-inflationary-problems-dencun-upgrade-blowbac\" alt=\"Why\" ethereum is lagging bitcoin cite inflationary problems dencun upgrade blowback and solana meme coins>Full story available on Benzinga.com<\/a><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Ethereum (CRYPTO: ETH), the second-largest cryptocurrency by market capitalization, has charted a diametrically opposite trajectory when compared to its older sibling, Bitcoin (CRYPTO: BTC), over the past year. Consider this. Bitcoin has jumped 32% in a year, reaching an all-time high of $109,000. Its share in the overall cryptocurrency market has expanded from 52% to [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-18430","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/18430","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=18430"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/18430\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=18430"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=18430"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=18430"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}