Why could Ethereum reach 100000? Two simple derivations: Firstly, as mentioned in the article, the death spiral of fiat currency drives the skyrocketing flywheel of cryptocurrency, which in turn accelerates the death spiral of fiat currency. Mutual causality, self reinforcing, once activated, almost irreversible. Secondly, the Matthew effect of ether has three major self reinforcing characteristics: 1. Liquidity attracts liquidity: A blockchain with high liquidity (i.e. high TVL) naturally attracts new liquidity. For users and traders, high liquidity means lower trading slippage and more efficient capital utilization. For developers, building applications on a chain with deep liquidity means that their products can immediately connect to a massive capital pool and user base. This will attract more projects and capital to enter, further boosting the liquidity of the chain and forming a positive cycle. Ethereum's sustained lead in TVL is a self reinforcing dividend. 2. Transaction volume promotes ecological prosperity: High transaction volume is a direct proof of network activity and practicality. It indicates that there are a large number of real users using the applications on this chain. This is a strong signal for developers who tend to build in areas where users are active. More applications will bring more diverse use cases, thereby attracting more users and further driving up transaction volume. This process is like an accelerating flywheel, allowing the leading ecosystem to continuously attract developers and users, consolidating its leading position. 3. Security consolidates value, value enhances security: Security is the cornerstone of blockchain, especially crucial for applications that handle high-value assets. The security of a network is usually directly related to its degree of decentralization and attack costs (such as the cost of controlling most of the pledged assets in PoS mechanisms). When a chain is recognized as sufficiently secure, high-value applications and institutional capital dare to enter. As the value of assets on the chain continues to grow, transaction volume will also increase, and economic incentives to protect network security (such as rewards for validators) will also increase, which will attract more participants to maintain network security and make the network more secure. This cycle of 'security attracts value, value enhances security' enables platforms like Ethereum to become the trusted settlement layer of the entire ecosystem, providing security for L2 and other applications on top of it. 4. Consensus accumulated over time enhances security: the longer the system operates without faults, the higher the user's trust and the stronger the consensus; The stronger the consensus, the greater the value attracted. A typical example is Bitcoin. Relying solely on secure consensus as a flywheel, Bitcoin has become a leading asset in the cryptocurrency market. In summary, these four factors - liquidity, trading volume, security, and consensus based on fault free operation - are intertwined and form a powerful positive feedback loop. This cycle creates a high competitive barrier for already dominant blockchains such as Ethereum, making it difficult for new entrants to shake their position. last, Someone may ask, it seems like there haven't been any transactions on Ethereum recently? So has the second point above been falsified? This question needs to be viewed from three points: 1. The ecosystem of Ethereum consists of two layers. The transaction volume of the entire Ethereum ecosystem with two layers has significantly increased compared to the previous cycle 2. The trading volume of the Ethereum ecosystem exhibits strong cyclicality 3. It still takes a long time for a single flywheel to be affected and transmitted to the other three flywheels That's why, after the stablecoin bill was passed, the number of listed companies setting up vaults to buy ether far exceeded any other currency, even surpassing Bitcoin. This article is not investment advice. I hold Ethereum and my views are biased. Investing in Ethereum carries high risks. Please conduct your own analysis and research