Ethereum upgrade sparks activity spike, but JPMorgan doubts it will last
Activity spike following Ethereum’s Fusaka upgrade
JPMorgan said Ethereum’s Fusaka upgrade cut fees and increased transactions and active addresses. The bank questioned whether the rebound in activity would be sustainable.
Concerns about long-term sustainability
JPMorgan analysts doubt that the surge in activity post-Fusaka upgrade will be sustained. The network’s transaction spike may be driven by scam-related behavior rather than genuine user growth, raising concerns about the underlying health of the ecosystem.
External perspectives and market reactions
While Ethereum’s latest upgrade caused an immediate spike in usage, evidenced by lower fees and increased transactions and active addresses, pressure from layer-2 networks and rival blockchains continues to cloud Ethereum’s long-term growth outlook.