Overview
- JPMorgan’s latest note says ether and other altcoins will keep trailing bitcoin unless network use picks up in DeFi and real-world applications.
- Institutional gauges show a gap, with spot bitcoin ETFs regaining about two thirds of recent outflows and CME futures exposure near prior highs, while ether lags on both.
- The bank ties altcoin weakness to thin liquidity, shallow order books, slower DeFi growth, and a run of hacks that sapped confidence.
- JPMorgan warns that the Glamsterdam and Hegota upgrades may cut fees and reduce ETH burning, which could raise net supply unless demand grows.
- Regulatory clarity could change the flow, as the CLARITY Act’s 15–9 committee vote would sort SEC and CFTC oversight and may spur venture deals and adoption.