Ethereum Sees Significant Growth Despite Market Volatility
While many cryptocurrencies have been struggling with market volatility, Ethereum (ETH) has experienced significant growth, reaching its highest levels in the past four months. This surge has sparked speculation about the possibility of an upcoming price rally for ETH.
Explosive Growth on the Ethereum Network
Recently, Santiment, a market intelligence platform, highlighted positive developments in the Ethereum network. According to Sanbase Pro data, Ethereum has shown substantial network growth, suggesting renewed activity and potential bullish momentum for the cryptocurrency.
In a detailed chart shared by Santiment, it was revealed that the number of new daily wallets on the Ethereum network has seen dramatic growth. Typically, Ethereum network growth is measured by the number of newly created addresses, which is seen as an indicator of increased user activity.
Surge in New Wallets
On September 8th, approximately 126,210 new wallets were created on the Ethereum network, marking a new milestone in its growth. This sudden rise in the number of new addresses suggests that more users are engaging with the Ethereum network, signaling a potential increase in the utility of the network. Santiment has interpreted this substantial growth as a possible indicator of a future ETH price rally.
Ethereum Price Outlook
Alongside this network growth, cryptocurrency analysts are closely monitoring technical formations in the Ethereum price chart that could signal a trend reversal. A prominent analyst, known as Trader Tardigrade, identified the formation of a “double bottom” pattern in the ETH price chart. This pattern, characterized by a “W” shape, is often viewed as a bullish indicator, suggesting that Ethereum might be on the verge of reversing its recent downtrend.
Over the past few months, Ethereum’s price has exhibited high volatility, closely following Bitcoin’s market trends. Despite this instability, signs point to Ethereum potentially gearing up for another upward surge.
While some analysts, such as Ali Martinez, have noted that Ethereum whales may have lost interest in the cryptocurrency, others like Trader Tardigrade remain optimistic. He suggests that a significant price rally could be on the horizon, potentially pushing Ethereum’s value up to $3,900.
