2026-01-07 04:29:37

Ethereum's recent performance is quite interesting. Although short-term fluctuations are inevitable, the fundamentals and capital flows are showing double positive signals.

On the technical side, there has been substantial progress. Today, the Ethereum network completed the BPO-1 upgrade, increasing the Blob capacity per block to 15. This upgrade directly impacts the cost structure of layer 2 networks like Arbitrum and Optimism, and is expected to significantly reduce user interaction costs. The overall scalability of the ecosystem will also improve accordingly. Users should notice a better experience.

More importantly, the capital side is improving. Institutions are indeed continuing to enter through official channels. Since January, US spot Bitcoin and Ethereum ETFs have absorbed over $1.5 billion in net funds. Just on January 2nd alone, inflows into spot Ethereum ETFs reached $174.5 million, hitting a recent high. This spot-oriented capital inflow is providing real support to the market.

In simple terms, capital is flowing in, and technology is upgrading. When these factors combine, it's usually a good sign.

ETH0,43%

BTC0,21%

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.

12 Likes

Reward
12
6
Repost
Share

Comment

0/400

GateUser-a180694b

· 01-10 03:19

Blob expansion to 15? Alright, this time the layer 2 gas fees might finally relax. But honestly, what's really interesting is that the institutional money hasn't stopped; a net inflow of 1.5 billion isn't a small figure. That's the real support. --- The recent inflow into the ETF is quite aggressive, with 170 million on January 2nd alone? Looks like the big players have figured it out. With both capital and technology working together, it's unlikely to fall short in the short term. --- Yes, the BPO-1 upgrade is complete. To be honest, whether the layer 2 ecosystem can truly take off depends on whether user experience can be practically improved. Theoretical support alone isn't enough. --- What does institutional entry indicate? It shows they think there's an opportunity at this price level. Regardless of whether the technology is upgraded or not, the existence of this money itself is confidence. --- Doubling blob capacity sounds cool, but the key is adoption. If no one uses layer 2, what's the point of optimization? But since institutions are investing heavily, maybe this time there's real potential.

View OriginalReply0

StillBuyingTheDip

· 01-10 02:01

Wow, the BPO-1 upgrade can really reduce costs. I'm so looking forward to it. Layer 2 is finally taking off.

View OriginalReply0

TooScaredToSell

· 01-07 04:59

Institutions are really entering the market, this time it's not just hype. The BPO-1 upgrade directly reduces gas fees, Layer 2 ecosystems are gaining popularity, we should keep up with the pace. --- Blob expansion, L2s must be laughing their heads off, gas fees are about to skyrocket. --- The $1.5 billion influx has just begun, oh my, it's only early January... institutions' appetite is just too big. --- Honestly, the capital inflow combined with technological upgrades doesn't really feel like a typical pump-and-dump. --- With the BPO-1 upgrade, user experience should improve, right? Finally some promising signs. --- Spot ETF attracting so much capital, no wonder Bitcoin and Ethereum are both surging. Fundamentals are really improving. --- Technological progress plus capital-driven momentum, this combo makes short-term volatility no surprise. --- Still the same point, institutional funds and code upgrades coming together—how bad can the market get? --- On January 2nd, a single-day inflow of 170 million, this data is quite intense, spot market really is reliable.

View OriginalReply0

PretendingSerious

· 01-07 04:57

Institutions are really throwing money around. The 15 Blob upgrades weren't in vain; the layer 2 network can finally breathe a sigh of relief.

View OriginalReply0

RugResistant

· 01-07 04:56

analyzed the blob upgrade thoroughly... but ngl the real concern here is whether these L2s actually implement it safely or if we're looking at another botched rollout scenario. seen this movie before, not always ends well

Reply0

GreenCandleCollector

· 01-07 04:31

Hey, the number 15 for Blob expansion sounds good, but how cheap can the layer 2 really get? --- Institutional money entering the market is definitely effective, but don’t forget it was the same last time... --- Double positive signals piling up, it sounds a bit too perfect haha --- Wait, is the BPO-1 upgrade recent, or was it in the plan all along? --- Capital inflow + technological upgrade, okay I believe in this logic, but how long can it hold this time is the key --- 15 billion USD sounds like a lot, but in the entire crypto market, it’s just average --- Layer 2 experience really will improve, I’m looking forward to that, as long as gas fees aren’t too outrageous

View OriginalReply0