@zachbkrvys
Layer 2 adoption increases Ethereum network throughput, enhancing user experience and transactional efficiency. Higher L2 usage often leads to increased ETH demand, whether for gas, staking, or DeFi participation. Tracking bridge volumes, active addresses, and transaction fees provides a clear picture of ecosystem engagement. L2 growth reduces mainnet congestion, indirectly supporting ETH’s utility and long-term valuation. Investors consider L2 adoption trends when forecasting token demand, network health, and scalability success, making it a key indicator of Ethereum’s broader market potential.