Ethereum and other altcoins continue to underperform Bitcoin despite a market rebound following the Iran conflict, according to a report by JPMorgan analysts. The report highlights that Bitcoin has shown stronger recovery in spot ETF inflows and CME futures positions compared to Ethereum since the market downturn. Analysts suggest that unless there is a significant improvement in on-chain activity, DeFi, and real-world applications, this trend is unlikely to change. The report also notes that while Ethereum upgrades have reduced Layer 2 transaction costs over the years, they have not effectively boosted on-chain activity. Instead, these upgrades have weakened the ETH burn mechanism and increased net supply growth. Additionally, the analysts point out that insufficient liquidity, declining market depth, and frequent security incidents in the industry continue to suppress the performance of altcoins.