Ethereum is undergoing significant network expansion, marking the most substantial growth since April, as evidenced by daily wallet creation statistics.
Ethereum's Activity Surge
According to data from the on-chain analytics platform Santiment, approximately 130,200 new Ethereum wallets are being created each day in December, the highest rate observed since earlier this year. The resurgence in interest aligns with Ethereum’s price nearing the $4,000 mark. Over the past week, the broader cryptocurrency market has seen robust activity, with Ethereum climbing from a weekly low of $3,501 to highs nearing $3,945.
Price Forecast by Analysts
Market analysts from CryptoQuant have posited that Ethereum could potentially exceed $5,000, driven by robust investor demand and positive on-chain metrics. They noted that the 'realized price upper range,' currently at $5,200, aligns with the peak prices of the 2021 bull run, suggesting a strong potential for further price increases.
Strengthening Investor Confidence
Furthermore, Ethereum network activity is on an upward trajectory. Total daily transactions have maintained between 6.5 to 7.5 million throughout most of 2024, a significant increase from the 5 million daily transactions recorded in 2023. This heightened activity is complemented by record inflows into Ethereum-based exchange-traded funds (ETFs), which saw their highest weekly inflow since their inception, totaling $854 million.
The combination of increasing wallet creations, sustained high transaction volumes, and substantial capital inflows into ETFs paints a promising picture for Ethereum's ecosystem. This holistic growth not only reflects heightened market activity but also underscores the continuing confidence among investors and users in Ethereum's long-term value and utility.
