Ethereum Skyrockets to 8-Month High as Price Targets $4,000 Comeback

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As a seasoned analyst with over two decades of experience in the financial markets, I have seen my fair share of market cycles and trends. However, the current surge in Ethereum (ETH) is particularly captivating, even for someone like me who has witnessed the rise and fall of numerous digital assets.

Based on data from analytics platform Santiment, Ethereum’s network is experiencing its most significant expansion since April, with the cryptocurrency aiming to regain the $4,000 price point. Significantly, an average of 130,200 new Ethereum wallets were established daily in December, marking the highest number since April.

This surge in new wallets indicates a renewed interest in Ethereum that hasn’t been seen in months.

As a researcher, I’ve observed an intriguing trend: Ethereum has reached an eight-month peak in the number of new wallets created. On average, around 130,200 fresh addresses are appearing on the network daily this December, indicating a resurgence of interest not seen since April.

As an analyst, I’m observing a significant surge in the creation of Ethereum wallets, reaching heights not seen since April and marking an 8-month high. On average, approximately 130,200 new addresses are appearing on the network daily this December, indicating a renewed interest in Ethereum that’s been quite remarkable.

— Santiment (@santimentfeed) December 13, 2024

The cost of Ethereum has consistently increased and is now approaching the $4,000 threshold, making a significant surge possible.

On Wednesday, the cryptocurrency market experienced a significant surge, with Ethereum mirroring this trend and bouncing back from its lowest point of $3,564. Prior to this, Ethereum had dropped for two consecutive days at the beginning of the week, hitting an all-time low of $3,501 during Monday’s trading session.

Currently, ETH is experiencing a 1.14% decrease over the past 24 hours, with its value at approximately $3,867. Earlier today, it peaked at $3,945, but it hasn’t managed to surpass the significant resistance level of $4,000 thus far. Its upward momentum seems to have slowed over the last two days as it failed to maintain its advance above this critical barrier.

Ethereum to hit $5,000?

Based on CryptoQuant’s analysis, it is possible that the price of Ethereum (ETH) could reach over $5,000 for the first time ever, driven by strong investor interest, positive on-chain indicators, and increased network activity.

According to a recent tweet from CryptoQuant, there’s a strong possibility that the price of Ethereum could surpass $5,000 due to improving demand and supply trends. Notably, the highest level reached during the 2021 bull run, which is around $5,200, aligns with the current upper limit for realized prices, suggesting there’s potential for further growth.

Investor interest in Ethereum (ETH) is surging, evident in the record-breaking increase of holdings in spot ETFs. In the past week alone, Ethereum ETFs attracted an impressive $854 million, marking their highest weekly inflow since their launch.

To add on, the number of daily transactions on the Ethereum network has been consistently growing. In fact, it’s been stable between 6.5 and 7.5 million transactions per day throughout most of 2024, which is significantly higher than the approximately 5 million transactions in 2023.

Meanwhile, the total supply of ETH has hit 120.44 million, its highest since April 2023.

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2024-12-14 17:44