Ethereum is approaching a critical phase as Arkham raises questions about the flow of value back to its Layer 1 (L1) network amidst the expansion of Layer 2 (L2) Rollups. The upcoming Fusaka upgrade on December 3 is pivotal for Ethereum's modular roadmap and economic model. Arkham emphasizes the need for Ethereum to reinforce its 'digital oil' narrative within a Rollup-centric framework to sustain its DeFi leadership. The report notes Ethereum's recent underperformance compared to Bitcoin, attributing it to institutional adoption and ETF inflows not boosting price momentum. The main uncertainty is whether value will revert to Ethereum's L1 or remain within L2 ecosystems.