That's true but many dapps just launched on Etheruem. Ether is also used as a currency and store of value , which gives it a much higher value since every exchange trades it. Scaling is coming to Ethereum but it's taking longer than many had predicted but it's already happening with games especially off-chain. Still very smart to spread that risk out and diversify some.
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Also many exchanges price in Bitcion AND Ether, which gives it use case. Of all the coins that are overvalued and overhyped, Ether would not be the first one I would point to.