Ethereum Price Prediction: ETH Faces Pressure as Layer-2 Activity Rises
ETH price pressured as Layer-2 growth raises concerns over Ethereum fee demand and burn.Analysts cite a bearish structure as ETH breaks a descending triangle and tests key support.Institutional moves and mixed forecasts add uncertainty, with ETH needing to reclaim key resistance for strength. Ethereum has been struggling again, but traders are now focused on something much bigger than another correction. A growing number of investors are starting to question whether Ethereums own Layer-2 success is slowly weakening demand for ETH itself. That discussion gained attention and AIXBT noted that most activity is now happening on Layer-2 networks like Base, Arbitrum, and Optimism, where transaction fees are far cheaper than Ethereum mainnet. Layer-2 growth and ETH demand pressure AIXBT shared that Ethereums scaling strategy may have created an unexpected problem. Networks like Base, Arbitrum, and Optimism are processing record transaction activity, but most users are no longer interacting with Ethereum mainnet directly because Layer-2 fees are dramatically cheaper. That matters because Ethereums burn mechanics depend heavily on activity happening on the main chain. As more transactions move to Layer-2 networks and settle in batches for very low costs, the amount of ETH being burned through fees has dropped sharply compared to earlier cycles. At the same time,