“Ethereum will be the most valuable network for the foreseeable future”: Messari analyst

Ethereum will continue to be “the most valuable network for the foreseeable future,” according to the Messari analyst identified as AJC. However, he says that the key point is not to determine whether Ethereum will be valuable, but to evaluate «how ETH, the asset, accumulates value from this.»

The specialist recalled that in the previous cycle the idea predominated that «ETH would accumulate value directly thanks to the success of Ethereum.» This assumption, he adds, defined for years the narrative of Ultrasound Moneybased on the high demand for the use of the network would drive a constant burning of ETHthus creating a mechanical source of appreciation.

AJC maintains that that scenario was no longer valid. “Ethereum fees have plummeted with no recovery in sight,” he said, referring to the continued decline in fee income. This directly affects the hypothesis that ETH burning could act as a primary driver of the asset’s value.

Indeed, the average cost of Transaction fees on the Ethereum network have been falling progressively, although with episodes of upward peaks. So far this year, commissions have fallen 96%, going from $8.60 on average in January to $0.33 in December. This is seen in the following graph:

The use of the Ethereum network does not translate into demand for the cryptocurrency

On the other hand, AJC noted that the sectors driving network growth today — such as real-world assets (RWA), institutional adoption, and stablecoins — “primarily use the dollar as a base monetary asset, not ETH.” This implies that Ecosystem growth does not automatically translate into demand for digital currency.

In fact, Ethereum remains the largest network that gives life to US dollar stablecoins. This, to the point where the protocol has surpassed the payment giants Visa and Mastercard in transfer volume.

NoticiasVE reported that the network created in 2013 by Vitalik Buterin processed almost USD 6 billion during the fourth quarter of the year. In contrast, Visa processed USD 4.3 billion and Mastercard USD 4.6 billion, in the same period.

In that sense, the Messari analyst states that “the appreciation of ETH is no longer linked to the economic activity of Ethereum in a deterministic manner.” According to your vision, Ethereum can continue to grow as critical infrastructurewithout guaranteeing a proportional increase in the value of its digital currency.

The future of ETH will depend on the indirect accumulation of value

Faced with this structural change, AJC proposes that «the value of ETH will now depend on how ETH accumulates value indirectly thanks to the success of Ethereum.» This mechanism is more uncertain, since—as explained— It is not based on automatic processes, but on social factors.

“Indirect accumulation is much less certain,” he said, since it is based on the fact that, as Ethereum gains systemic importance, more users and capital decide to treat ETH as a store of value. Such dynamics, he stressed, «depend entirely on social preference and collective belief.»

The analyst emphasized that This process is not necessarily a defectsince “this is how Bitcoin gets its value.” However, he added that «whether or not ETH can indirectly accumulate value remains an open question.» A point that is considered the center of the current debate around the asset.

AJC’s observations reignite the debate over ETH’s monetary sustainability. In his analysis, he insists that the central question is whether the market will adopt ETH as a store of value as Ethereum continues to grow.

Until this dynamic does not materialize, he concludes, the potential for asset appreciation will continue to be marked by uncertainty.