At first I thought wow... I become ghostlike... big deal.

Then I realised that while I was ghostlike I could not be hit.

Wow... perfect for withstanding a point blank blast of dragon flame...

Then I realised I could actually still hit... even though I was ethereal and couldn't be hit.

Wow... perfect for going toe to toe with a Frost Troll where you need to smash him hard and fast (still needed potions, those beasts are... well... beasts)

Then I thought to myself... What if I turned ethereal and jumped off the highest cliff in the game?

Wow... no damage!

That's awesome!

Azrael
The Nord with the Sword

Wait... you can hit while ethereal? - are you sure. I only have rank 1 and at rank 1 taking any action ends the effect prematurely.

I got the impression it's main function is for running through danger/traps/jumping off high surfaces and as a get-out-of-trouble card (there is a meditation bonus that gives +25% health regen while ethereal)

I don't think you're supposed to be able to attack while ethereal. When I use it it won't let me take any weapons out or do anything. I've only ever used it for quickly descending mountains.

Its pretty OP..become ethereal - bust out bow and proceed to kill everything in sight without damage. Yay.

That's a bug. You shouldn't be able to attack with ethereal shout.

It's not a bug.

I'm probably just not realising that I'm nullifying the Ethereal Effect by striking.

I'll test it out later on but it's probably just a case of me getting overly excited while using the Shout.

Azrael
The Nord with the Sword

It's still pretty good, though. It lets you sprint without stamina, so something tells me the developers wanted it to be the ultimate survival power.