On-chain data shows a large amount of new addresses have popped up on the Ethereum network recently, a sign that ETH adoption is occurring.

Ethereum Network Growth Registered A Sharp Spike Recently

In a new post on X, the on-chain analytics firm Santiment has discussed about the latest trend in the Network Growth for Ethereum. The “Network Growth” here refers to an indicator that keeps track of the total number of addresses that are coming online on the ETH blockchain for the first time.

An address is said to be ‘online’ or active when it participates in some kind of transaction activity on the network, whether as a sender or receiver. Thus, the Network Growth measures the number of addresses making their very first transfer.

When the value of this indicator is high, it means the network is witnessing the creation of a large number of addresses. This kind of trend can arise when new users join the chain or old ones who had sold earlier return.

A spike in the Network Growth can also naturally occur when existing users create multiple wallets for a purpose like privacy. In general, all of these factors are at play to some degree whenever the indicator observes an increase, so some adoption of the cryptocurrency could be assumed to be taking place.

Now, here is the chart shared by the analytics firm that shows the trend in the Ethereum Network Growth over the past six months:

The value of the metric seems to have been quite high in recent days | Source: Santiment on X

As displayed in the above graph, the Ethereum Network Growth saw a huge spike during the weekend, implying a large number of new addresses were generated on the ETH blockchain.

In total, the users created 206,290 addresses during this spike, which is the largest value for the indicator since October 2022, more than two years ago.

As the analytics firm notes,

The 27-month high in daily wallet creation comes during a time when ETH crowd sentiment has veered particularly negative as other altcoins have outperformed it. Regardless, due to DeFi and staking options for crypto’s #2 market cap asset, Ethereum is still the entire sector’s leader in total non-empty addresses.

Historically, adoption is something that has been constructive for cryptocurrencies, as a wider userbase can provide for a stronger foundation on which future price moves can thrive.

The potential bullish effects of adoption, however, usually only become apparent in the long term. Thus, these new addresses are unlikely to have any noticeable influence on the price of Ethereum in the near future.

ETH Price

Ethereum, like the rest of the cryptocurrency sector, has crashed during the past day. After a drawdown of around 7%, ETH’s price is now trading under $3,100.

Looks like the price of the coin has plummeted over the past day | Source: ETHUSDT on TradingView

Featured image from Dall-E, Santiment.net, chart from TradingView.com

Crypto analyst Kartik has revealed a technical pattern that has formed for the Ethereum price, indicating a possible breakout may be on the horizon. The analyst further revealed the new targets that have emerged for ETH due to the bullish pattern. 

Ethereum Price Forms Flag And Pole Pattern

In a TradingView post, Kartik revealed that the Ethereum price had formed a flag and pole pattern, indicating that ETH could be set for a breakout. The analyst noted that this pattern has formed while Ethereum is currently on a downtrend from the $4,100 resistance level. In line with this, he revealed targets to watch out for following the formation of this pattern. 

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Kartik stated that the next strong support level is at $2,800. He added that the Ethereum price could see a positive move from either a breakout of the trendline or support at the $2,800 level, or both could co-occur. The analyst also advised market participants to wait for things to play out before making any decisions. 

The analyst’s accompanying chart showed that the Ethereum price could rebound from the support level at $2,800 and rally to $3,600. The chart also showed that Ethereum could even rally to as high as $4,000. Meanwhile, ETH could face some resistance at around $4,100 as it targets higher prices. A break of the $4,100 resistance could lead to a further rally to $4,400. 

Crypto analyst Titan of Crypto also provided a bullish outlook for the Ethereum price, stating that a breakout is imminent. This came as he remarked that ETH was on the verge of breaking out from a falling wedge pattern. Crypto analyst Mikybull Crypto also stated that the ETH breakout seems very close, which could send its price to $4,000. 

ETH To Reach $5,000 Thanks To These Fundamentals

In an X post, crypto analyst Ted predicted that the Ethereum price will reach $5,000 before April this year. The analyst alluded to ETH’s fundamentals to prove why such a parabolic rally is possible for the second-largest crypto by market cap. First, he mentioned the fact that Donald Trump’s World Liberty Financial is buying and staking ETH, which is bullish for Ethereum. 

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Ted further mentioned the launch of Etherealize, which will help onboard institutions. This move could increase the inflows into the ETH ETFs, which is a positive for the Ethereum price. The analyst also mentioned the Pectra upgrade, which is coming in March 2025. Alongside these bullish fundamentals, he noted that sentiment is at an all-time low, which he claimed is the best signal for reversal. 

At the time of writing, the Ethereum price is trading at around $3,130, down almost 6% in the last 24 hours, according to data from CoinMarketCap.

Featured image from Adobe Stock, chart from Tradingview.com

Ethereum experienced a sharp decline yesterday as the broader cryptocurrency market tumbled. ETH prices dropped over 9% in just a few hours, shaking investor confidence and raising concerns about a potential deeper correction. The sudden downturn has sparked fear across the U.S. markets, adding to the uncertainty that has gripped the crypto space this Monday morning.

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Top crypto analyst Carl Runefelt shared a technical analysis on X, shedding light on Ethereum’s precarious position. According to Runefelt, Ethereum might test the $2,800 support level if the market continues its downward trajectory today. This key level could serve as a critical juncture for ETH, as losing it might lead to further declines and heightened selling pressure.

Market sentiment has taken a hit, with many investors bracing for increased volatility in the days ahead. Analysts are closely monitoring macroeconomic indicators and broader market movements to gauge the potential impact on Ethereum’s price action. As ETH hovers around pivotal support zones, the next 24 to 48 hours will be crucial in determining whether the cryptocurrency can regain momentum or face a deeper correction. Investors are urged to tread cautiously as the market navigates this volatile phase.

Ethereum Faces Intense Selling Pressure 

Ethereum has been under significant selling pressure since late December, reflecting the heightened volatility that has gripped the broader cryptocurrency market. Analysts and investors are increasingly bearish, with sentiment suggesting that ETH may continue to decline in the coming days. This challenging phase has raised concerns about the asset’s near-term prospects, leaving many market participants on edge.

Top crypto analyst Carl Runefelt shared his technical analysis on X, highlighting a critical support level for Ethereum. Runefelt predicts that ETH might reach the $2,800 support level if the current market downturn persists. This key level could be a strong foundation for a potential recovery or signal further weakness if broken.

Despite the bearish sentiment, some investors and traders see this potential drop as an opportunity. Ethereum remains one of the most prominent cryptocurrencies, and many believe it is still poised for significant gains this cycle. A correction to $2,800 could provide an attractive entry point for those confident in Ethereum’s long-term fundamentals and growth potential.

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As the market continues to navigate this uncertain period, all eyes are on Ethereum’s price action. Whether it holds at critical support or succumbs to additional selling pressure will play a crucial role in shaping its trajectory in the weeks ahead.

Price Holds Above Critical Support

Ethereum (ETH) is currently trading at $3,050, maintaining a position just above the 200-day moving average, which stands at $2,988. The 200-day moving average is widely regarded as a long-term indicator of strength, and holding above this level could signal a potential reversal of the ongoing downtrend.

The market is watching closely to see if Ethereum can maintain this critical support, as it could mark the beginning of a recovery phase. Analysts highlight that staying above the 200-day moving average is essential to building bullish momentum and restoring investor confidence in the short term.

However, holding support is only the first step. To confirm a trend reversal and establish a stronger bullish outlook, Ethereum must reclaim the $3,300 resistance level. This would indicate that buyers have regained control, potentially paving the way for further upside.

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On the flip side, losing the $2,988 level could lead to increased selling pressure, with the possibility of ETH testing lower support levels. As the market navigates this pivotal moment, the coming days will be crucial in determining whether Ethereum can sustain its current levels and make a push toward reclaiming higher ground. For now, traders and investors remain cautiously optimistic.

Featured image from Dall-E, chart from TradingView