Ethereum Network Growth Hits Highest Level In 4 Months, Will Price Follow?

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As an analyst with over two decades of market experience under my belt, I’ve seen my fair share of bull and bear markets. However, the recent surge in the Ethereum network growth has piqued my interest more than usual. The double bottom pattern identified by Trader Tardigrade, coupled with the sudden increase in new wallet addresses, seems to suggest that we might be witnessing a shift in the market dynamics for ETH.

Despite many cryptocurrencies facing significant declines due to overall market instability, the Ethereum (ETH) network is seeing a substantial spike in growth, reaching its highest point in four months. This impressive rise has ignited discussions about the potential for an upcoming price hike.

Ethereum Network Sees Explosive Growth

On September 9th, Santiment, a market intelligence platform, shared on X (previously Twitter) that the Ethereum network has recently seen an uptick in its development. Based on data from Sanbase Pro, this surge suggests heightened activity within the network and could indicate a bullish trend for Ethereum cryptocurrency.

Displaying an intricate graph showing Ethereum’s price fluctuations and expansion of its network over the recent period, Santiment highlighted a significant increase in the creation of daily ETH wallets. Usually, the growth spike in the Ethereum network is quantified by the number of newly formed addresses on the network.

Ethereum Network Growth Hits Highest Level In 4 Months, Will Price Follow?

On September 8th, around 126,210 new wallets were set up on the Ethereum network. Interestingly, this typically quiet day of the week saw the network experiencing its greatest expansion spike in four months, reaching an all-time high.

As a researcher, I’ve noticed an unexpected surge in the creation of new Ethereum wallet addresses, implying that more individuals are engaging with and contributing to the network. This trend could be indicative of the growing practicality of the Ethereum network. In light of this substantial growth spurt, Santiment predicts that this could herald a forthcoming increase in the value of ETH.

Based on the market intelligence platform’s predictions, the current surge in ETH could push its price beyond the $2,200 and $2,300 range it is currently hovering just above, potentially reaching new highs due to recent growth in its network. The current price of ETH stands at $3,314.

The Price Outlook

crypto expert Trader Tardigrade has spotted an intriguing new pattern in Ethereum’s price graph: a “double bottom” formation. This technical pattern resembles the letter ‘W’, indicating that the price of Ethereum has previously reached a low, then risen and fallen back to the same level before increasing again. Historically, this pattern is regarded as a positive sign, suggesting that the cryptocurrency’s price may be poised for an upward trend.

As a crypto investor, I’ve noticed that the double-bottom pattern in Ethereum’s price chart might be signaling an end to its downtrend. This could mean a possible price reversal for this digital currency is imminent. Over the past few months, Ethereum’s price movements have closely followed Bitcoin‘s market trends, showing significant volatility and fluctuations.

A well-known market authority known as ‘Crypto Rover’ on platform X has shared that Ethereum has dropped by 3.59% so far this year. Furthermore, noteworthy analyst Ali Martinez has mentioned a potential decline in enthusiasm for Ethereum among large investors, or ‘whales’, as they ceased accumulating ETH around early July and have since either sold or reallocated their Ethereum holdings.

Despite this market trend, Trader Tardigrade says that there is a high chance that a massive price pump is coming soon for Ethereum. The analyst suggests that this pump could propel Ethereum’s price to $3,900. 

Ethereum Network Growth Hits Highest Level In 4 Months, Will Price Follow?

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2024-09-10 03:41