Ethereum News Today: Ethereum's Scalability Surge Diverts Capital from Bitcoin to Altcoins

Ethereum's long-anticipated Fusaka upgrade is on track for a December 3 mainnet launch after successfully passing its final testnet phase, signaling a pivotal step toward reducing gas fees and enhancing scalability. Meanwhile, Bitcoin's relative underperformance in Q3 2025 has shifted investor attention to high-growth altcoins, with BullZilla ($BZIL) emerging as a standout presale project, having raised over $980,000 and nearing a 3.35% price surge.

The Fusaka upgrade, now live on the Hoodi testnet, introduces key Ethereum Improvement Proposals (EIPs) designed to streamline data processing and expand transaction capacity. EIP-7594 (PeerDAS) allows validators to sample smaller data segments from layer-2 networks, reducing bandwidth demands and improving node efficiency. Complementary upgrades like EIP-7825 and EIP-7935 increase gas limits and optimize parallel execution, enabling simultaneous smart contract processing. These changes aim to address Ethereum's scalability challenges, a critical component of the blockchain trilemma, as outlined by co-founder Vitalik Buterin .

The upgrade follows the September 2025 shutdown of the Holesky testnet and marks the third phase of Ethereum's "Surge" roadmap. Post-Fusaka, the network will focus on the Glamsterdam upgrade to further enhance throughput. Ethereum's price, currently trading above $4,000, has shown resilience despite an 18.8% dip from its peak, with analysts attributing long-term stability to the 200-day SMA at $3,295 . However, the Ethereum Foundation faces internal leadership changes, with key contributors voicing concerns over strategic direction .

While Bitcoin surged to an all-time high in Q3 2025, it lagged behind altcoins in performance, according to CoinGecko. Ethereum, in contrast, saw its market share rise to 12.5%, driven by renewed institutional interest and spot ETF inflows, with ETH ETFs attracting $9.6 billion in the third quarter, outpacing Bitcoin's $8.7 billion, as investors bet on the network's scalability upgrades .

Bitcoin's dominance dipped to 56.9%, reflecting a "material rotation" into Ethereum and other large-cap altcoins. This trend aligns with broader market dynamics, including increased trading volume and a shift away from Bitcoin's "flight to quality" narrative seen earlier in 2025 .

In the altcoin spotlight, BullZilla ($BZIL) has captured investor attention with its deflationary tokenomics and staking incentives. The presale, now in Stage 8, has sold 31 billion tokens to over 3,300 holders, with early participants reporting a 2,500% ROI potential. Features like the Roarblood Vault and a burn mechanism aim to drive scarcity, while staking rewards of up to 70% APY offer passive income .

BullZilla's success contrasts with the performance of established meme coins like Shiba Inu, which, despite a strong community, has seen only modest gains. Analysts highlight BullZilla's structured approach-combining meme-driven hype with technical innovation-as a key differentiator in a crowded market .

As Ethereum's Fusaka upgrade inches closer to deployment, the crypto market remains bifurcated. Institutional adoption of Ethereum 2.0 and layer-2 solutions could bolster its dominance, while projects like BullZilla exemplify the risk-reward profile of presale investments. With Ethereum options expiring at $2.6 billion on Deribit and large withdrawals from exchanges signaling accumulation phases, the stage is set for a volatile yet potentially rewarding Q4 .

For investors, the coming months will test strategies balancing Ethereum's foundational upgrades, Bitcoin's institutional appeal, and the speculative allure of presales. As one analyst noted, "The blockchain trilemma isn't just a technical challenge-it's a market opportunity waiting to be unlocked."

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