Ethereum Reclaims DEX Crown—What’s Behind Solana’s Sudden Fall?

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Ethereum (ETH) has regained its lead in decentralized exchange (DEX) trading volumes, outpacing Solana for the first time in six months.

According to DefiLlama, Ethereum-based DEXs recorded around $63 Billion in trading volume throughout March 2025.

DEXs on Solana generated a trading volume of $51 Billion, while Ethereum DEXs reached $63 Billion.

The market has experienced a fundamental shift since Solana maintained its dominant position for previous months.

Ethereum’s resurgence underscores its consistent infrastructure and dominant position in the DeFi ecosystem.

With trading activity rebounding, it as again positioned itself as the most active blockchain for decentralized exchange operations.

High gas fees challenge users, yet trading volumes remain robust.

User preferences remain focused on network effects as well as reliability and security even while network fees continue to rise.

Ethereum benefits from institutional interest and high-value trades that support its volume dominance despite costlier transactions.

Ethereum Gains Ground Through Uniswap and Network Strength

The steady performance of major platforms like Uniswap and Curve Finance has driven its DEX ecosystem.

In March alone, Uniswap processed over $30 Billion in trading volume, contributing significantly to Ethereum’s lead.

Curve Finance also played a role in maintaining the user base and liquidity depth.

Dexes trading volumes by chain | Source: DefiLlama

Additionally, Ethereum’s infrastructure and smart contract maturity continue to attract sophisticated traders and liquidity providers.

Stable platform architecture combined with decentralized management makes the chain more attractive in markets characterized by fluctuations.

These attributes give it a consistent edge even when competitors offer lower fees.

The upcoming Pectra upgrade, which aims to improve scalability and efficiency, further supports Ethereum’s position.

Pectra will be launched in Q2 after its successful deployment to the Holesky testnet.

This network enhancement could boost usage and reinforce the long-term market position.

Solana Faces DeFi User Retention Issues

The DEX trading numbers on Solana significantly decreased after numerous weeks of progressive growth, leading to strong market outcomes.

Major trading platforms Raydium and Pump.fun show reduced user activity, according to system data.

This decline has contributed to Solana falling behind Ethereum in March’s trading volume.

The volume at Pump.fun plunged sharply from its original $7.75 Billion in January to just $2.53 Billion in March.

Solana’s overall trading indicators suffered major consequences after the trading volume decreased by 67%.

Because of the market’s decreased activity, Solana’s DeFi landscape now faces sustainability and user retention challenges.

Pump.fun trading volume | Source: DefiLlama

The token graduation rate on Pump.fun has significantly decreased, which is the main cause of this downward trend.

The rate measuring Raydium token movement through Pump.fun decreased from 0.8% to 0.65% each week.

Ethereum Gains Edge With Institutional Backing

Solana faces an ongoing challenge to grow at the same rate as Ethereum does because investors now show more interest in Ethereum under more positive market conditions.

The spot Ethereum ETFs have delivered recent positive financial movement which contrasts with Bitcoin ETFs moving funds in the opposite direction.

A capital movement toward fundamental development appears probable based on these recent changes.

New institutional support for Ethereum is increasing because its development team actively works on scaling projects.

Market observers demonstrate growing faith in Ethereum’s future success because they are taking positive notice of Ethereum’s strategic platform upgrades and growing industrial operations.

According to analyst predictions, the cryptocurrency market’s performance during Q2 will determine how much market dominance Ethereum can maintain.

Technological developments on Ethereum, along with institutional support, create a positive on-chain environment that strengthens both adoption and its market dominance against alternative blockchain networks.



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