Despite the continued weakness in the market, Ethereum There are signs of strength in some areas. In a significant landmark, major altcoins have outperformed the largest digital asset, Bitcoin, on a key metric that defines industry strength.
Ethereum dominates key metrics
recent report Leon Weidman, market expert and head of the Onchain Foundation, revealed that Ethereum dominates more important metrics than Bitcoin. The recent flips highlight ETH’s growing momentum, likely driven by ecosystem maturation, increased institutional attention, and increased network activity.
According to market experts, Ethereum has overtaken Bitcoin One of the most closely watched adoption metrics in this space is the share of total supply held by Digital Asset Treasury (DAT). The market is beginning to reflect a new narrative as more corporate treasuries, investment firms, and blockchain-native companies choose to hold ETH rather than BTC.
the data shows that ETH Financial Company It currently accounts for 4.3% of total supply, higher than BTC’s 3.6%. ETH outperforming BTC on this metric highlights a moment of growth where Ethereum’s fundamental role in the crypto ecosystem is being translated into real, quantifiable institutional preference.
In the opinion of experts, this surprising flip is completely logical. This is because ETH has more stakeholders with real operational demands. Bitcoin. These include Layer 2, DeFi protocols, DAOs, foundations, financial companies, governments experimenting with on-chain infrastructure, and countless Web3 projects built on top of Ethereum. If this current trend continues to grow, Weidman expects major stablecoin issuers to express interest in owning strategic stakes in blockchain.
Engagement across major blockchains is declining
Since the recent drop in ETH price, overall ETH activity has been steadily declining. networkThis is an unusual change for an ecosystem that typically leads the market in long-term activities. Wideman reported We observed that weekly active wallet addresses within the ETH ecosystem cooled down after months of increased engagement.
As seen in the Ethereum Weekly Engagement chart, the number of active ETH wallet addresses is over 8.2 million, down from a peak of 20 million in June 2025. This decline is due to DeFi, NFTs, and On-chain transactions.
Overall network activity is now down more than 60%, but Layer 2 interactions continue to be maintained. However, the overall usage of the ecosystem is clearly on the decline. Waidmann said this sharp decline is likely related to the cooling of airdrop farming activity across Layer 2.
A large portion of ETH is now being withdrawn from crypto exchanges, showing renewed confidence in the altcoin’s price outlook. ETH is accumulates at a considerable rate. In the last 30 days, 700,000 ETH has been moved off the exchange. merlin the trader noticed This kind of supply shock never looks bullish until the charts catch up.
Featured image from Pngtree, chart from Tradingview.com
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