JPMorgan Warns: Ethereum may enter bear season

In a recent study note, JPMorgan Chase analyst Nikolaos Panigirtzoglou forecasted that Ethereum would certainly continue shedding its dominance in the decentralized finance field.

JPMorgan warns: Be careful !

The ETH price is down 9.52% over the past 24 hours. 

To boost the scalability of the network, it will be separated right into independent fragments. Sharding is definitely one of the highlights of the fiercely prepared Ethereum 2.0 upgrade.

Nevertheless, considering that the shard chain stage is expected to kick off only in 2023, Panigirtzoglou believes that it will be "too late" for the present leader to catch up to the remainder of the market already.

Ethereum's share of the decentralized financing market has been gradually diminishing over the past year. According to data offered by DefiLlama, Ethereum dominance went to greater than 97% last January, but its share of the complete worth locked in Defi procedures has now reduced to just 63% as a result of the fast growth of such competitors as Terra, Binance Smart Chain, Avalanche and also Solana. The truth that Ether is delivering ground to independent blockchains seems particularly worrying for Panigirtzoglou. 

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