According to MarsBit’s market analysis, Ethereum’s Q1 2026 report describes the network as entering a phase defined by “low fees for scale.” The report says Ethereum set new historical highs in user count, transaction volume and throughput, indicating that network usage continued to expand while activity moved through the chain at lower cost.
The same report also records weaker quarter-over-quarter performance in several core metrics. Ethereum’s transaction fees declined, while TVL, trading volume and market capitalization also fell compared with the previous quarter. The data presents a contrast: usage and processing capacity increased, but fee generation, locked value and market value moved lower.
The report adds that Ethereum’s core role is shifting from a DeFi public chain toward a global financial settlement layer. It says Ethereum holds a leading position in stablecoins, tokenized funds and commodities, while institutions including BlackRock and JPMorgan are accelerating their entry and helping push tokenized assets into implementation.