Recently, the price of Ethereum (ETH) has shown a strong upward trend, attracting widespread attention in the market. However, an in-depth analysis reveals that the driving force behind this wave of increase does not come from improvements in the fundamentals of the blockchain network itself.

In fact, the key indicators of the Ethereum ecosystem have not shown significant growth: the Total Value Locked (TVL) has not increased substantially, and network fees (GAS) have not seen a surge. Additionally, developer activity remains steady, and on-chain transaction volume has not been able to recreate the prosperity of the past.

So, what has driven the rise in ETH prices? The answer seems to lie in off-chain factors: institutional investors are actively entering the market, ETF applications are under review, and the market narrative is continuously being hyped. These external factors have collectively shaped an environment that drives price increases, even though this does not directly reflect the prosperity of the blockchain network itself.

It is crucial for investors and market participants to understand this. In the short term, market sentiment may continue to dominate price movements. However, in the long run, true value will depend on the substantive development and application of the Ethereum ecosystem.

Although the current rise may not be driven by intrinsic value, it does not mean that Ethereum lacks value. On the contrary, it reminds us of the need to distinguish between short-term market behavior and long-term value creation. As the ecosystem continues to evolve, the true potential of Ethereum may gradually emerge in the future.

In this cryptocurrency market full of opportunities and challenges, it is more important than ever to maintain clarity and rational analysis. Whether you are an investor, developer, or regular user, you should closely monitor the actual progress of Ethereum, rather than just the price fluctuations.