Over the last day and a half, the performance of the Ethereum currency has plummeted, but other cryptocurrencies, such as Bitgert (BRISE), have skyrocketed. Throughout the most of 2022, the price of one Ethereum currency has been continuously declining. Despite recent price rises, the currency has failed to reach the amount it was trading at on New Year's Eve. The current drop in the price of Ethereum can be attributed to the collapse of the cryptocurrency market. However, there are a number of additional reasons why it is decreasing faster. Another factor is the sluggish adoption of the Ethereum blockchain by users. The low number of individuals adopting Ethereum is due to its high gas charge and sluggish chain. However, the team is now working on Ethereum network enhancements. Ethereum is currently undergoing updates to address scalability concerns and minimize the cost of utilizing its gas in order to entice more people to utilize its blockchain. As a result, the currency is expected to begin its bull run soon once these changes are done.

Several factors can contribute to a drop in the price of Ethereum. Market sentiment often plays a significant role; negative news, regulatory crackdowns, or concerns about security breaches can lead to widespread selling. Technological challenges, such as delays in the implementation of network upgrades like Ethereum 2.0, can also undermine investor confidence. Additionally, macroeconomic factors such as rising interest rates, inflation, or a stronger US dollar can drive investors away from riskier assets like cryptocurrencies. Competitive pressures from other blockchain platforms and tokens might erode Ethereum’s market share. Finally, large-scale sell-offs by major holders (whales) or institutional investors can exacerbate downward price movements, creating a cascading effect as other investors react to the falling prices.