Q4 2023 was a growth quarter for ETH, but it underperformed the larger Bitcoin and the younger platform chain challengers.
However, all of Ethereum’s fundamental metrics returned to growth. The return in crypto market sentiment, reflected onchain as transaction and user activity grew.
Ethereum’s rollup network now laps the mainnet three times in terms of transactions. Strong growth in rollup activity bodes well for Ethereum’s scaling vision.
Total value locked (TVL) on Ethereum grew by 35% in Q4, with DEX volumes growing by 26% and NFT volumes by 31%.
Ethereum’s upcoming Cancun-Deneb (Dencun) is finally around the corner. The upgrade aims to make rollup transactions more cost-effective, potentially rivaling alt-Layer-1s. The upgrade is being tested and is expected to be released later in Q1 2024.
Ethereum promises an exciting 2024 with much-hyped launches of EigenLayer and Blast as well as a potential spot ETF approval.
