Standard Chartered Investment Bank has cut Ethereum's price target for 2025 by 60% to $4,000 from $10,000.
Layer 2 solutions, like Coinbase's Base, have reduced Ethereum's market cap by $50 billion, leading to decreased transaction fees and revenue for Ethereum.
Ethereum's ongoing decline is attributed to the rise of Layer 2 networks that divert transaction fees, impacting Ethereum's market dominance.
Despite potential recovery through increased adoption of tokenized real-world assets, Standard Chartered remains cautious about Ethereum's short-term future.