Aggregate demand for ETH from Layer 2 fees will offset reduced Layer 1 fee activity, and aggregate demand for ETH as collateral on Layer 2s will far outweigh demand on Layer 1.
"it's possible that the aggregate demand for eth arising from fees on its layer 2os will be enough to offset the absence of fee activity on the layer one e bird s not withstanding at the same time it's likely that the aggregate demand for E's use as collateral on ethereum's layer 2os will far outweigh the same kind of Demand on ethereum itself precisely because ethereum has high fees and ethereum's layer 2s do not"
