This is a segment from the Empire newsletter. To read full editions, subscribe . For ether, things aren’t looking good. The chart below very clearly shows just how painful of a spot ETH is in right now. Blockworks Research’s Marc-Thomas Arjoon noted that ETH had its lowest quarterly return since Q2 2022. Yikes. Like I said above, some of the pressure is macro, as folks drop their risk assets like hot potatoes to protect themselves. But let’s be clear: Ethereum also has no one to blame but itself. “Ethereum’s fundamentals also weakened, with Real Economic Value (REV) dropping 48% month-over-month to $37M, its lowest since July 2020. Despite these setbacks, Ethereum maintained its dominance in the stablecoin market, with a record $124B in market cap and continued growth in on-chain activity,” Arjoon wrote. The network, Arjoon continued, sits at a “pivotal juncture.” “As the effects of Pectra unfold and market conditions stabilize, Ethereum has the potential to reclaim momentum and strengthen its role as a cornerstone of the decentralized ecosystem,” he added. The one big bonus for Ethereum has been stablecoin and institutional interest. As those continue to dominate the narrative, they also help give the network a much-needed boost. But is that going to be enough? I guess only time — and Pectra — will tell. Get the news in your inbox. Explore Blockworks newsletters: Blockworks Daily : The newsletter that helps thousands of investors understand crypto and the markets, by Byron Gilliam. Empire : Start your morning with the top news and analysis to inform your day in crypto. Forward Guidance : Reporting and analysis on the growing intersection of crypto and macroeconomics, policy and finance. 0xResearch : Alpha directly in your inbox. Market highlights, data, degen trade ideas, governance updates, token performance and more. Lightspeed : Built for Solana investors, developers and community members. The latest from one of crypto’s hottest networks. The Drop : For crypto collectors and traders, covering apps, games, memes and more. Supply Shock : Tracking Bitcoin’s rise from internet plaything worth less than a penny to global phenomenon disrupting money as we know it.
