How Do Market Efficiency Theories Challenge Both S2F and Metcalfe’s Law?

Market efficiency theories, particularly the Efficient Market Hypothesis (EMH), suggest that all available information, including network size (Metcalfe's) and scarcity (S2F), is already reflected in the asset's price. Therefore, these models should not consistently predict future price movements or generate alpha.

EMH argues that any predictable patterns suggested by S2F or Metcalfe's Law would be quickly arbitraged away by rational traders.