Ethereum at the Heart of Institutional DeFi
Despite the rise of layer 1 blockchains like Solana and Sui, Ethereum maintains a dominant position in decentralized finance thanks to its security and liquidity. Tomer Amar, co-CEO of Sharplink, displays a clearly bullish vision for the network founded by Vitalik Buterin.
According to his analysis relayed by Cointelegraph, Ethereum’s TVL would not be limited to organic growth but could experience an exponential rally, with a 10x multiplication by 2026. This projection is based not on ETH’s price alone, but on on-chain activity, the true barometer of network value.
Three pillars structure this dynamic. First, the rise of RWA (real world assets), with the tokenization of real assets like treasury bonds or real estate. Positions Ethereum as the preferred settlement layer for institutions. Next, the dominance of stablecoins on the network acts as a direct driver of liquidity and TVL.
TVL, ETH Price, and Long-Term Vision
The third major catalyst is the entry of sovereign wealth funds and traditional asset managers into DeFi. These players seek stable returns and proven infrastructure, directly benefiting flagship protocols like Aave or MakerDAO, pillars of the Ethereum ecosystem.
A massive TVL increase is historically correlated with ETH’s market capitalization. If the locked value is multiplied by 10, demand for ether would increase sharply, whether for gas fees or staking. In this context, it would be difficult to imagine a stagnant price: A structural bull run could enable ETH to far exceed its previous 2021 ATH.
The InvestX analysis remains optimistic but consistent with the underlying trend: The institutionalization of Ethereum. Despite short-term corrections, the fundamentals related to RWAs, stablecoins, and institutional adoption paint a long-term bullish trajectory. If Ethereum continues developing its layer 2 solutions while capturing global liquidity, the 2026 target could not only be reached but exceeded.
This is the year-end offer you can’t miss: In just a few clicks, receive between $5 and $25 in free bonuses through our partner Zoomex. InvestX wishes you happy holidays!
Related articles:
