Data on the chain shows that a large number of new addresses have appeared on the Ethereum network recently, a sign that ETH adoption is occurring.
Ethereum Network Growth registered a sharp nail recently
In a new one post At X, the analytics company Santiment has discussed about the latest trend in network growth for Ethereum. The “network growth” here refers to an indicator that keeps track of the total number of addresses coming online at ETH blockchain for the first time.
An address is said to be “online” or Active When it participates in some form of transaction activity in the network, either as a sender or recipient. Thus, network growth measures the number of addresses that make their very first transfer.
When the value of this indicator is high, it means that the network witnesses the creation of a large number of addresses. This type of trend can occur when new users join the chain or old who sold previous return.
Of course, a nail in network growth may occur when existing users create multiple wallets for a purpose that privacy. In general, all these factors are played to some extent when the indicator observes an increase, so some adoption of cryptocurrency can be assumed to take place.
Now here is the chart shared by the analysis company that shows the trend in 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 shown in the above graph, Ethereum Network growth saw a huge nail over the weekend, which means that a large number of new addresses were generated on ETH blockchain.
In total, users created 206,290 addresses under this nail, which is the largest value for the indicator since October 2022, more than two years ago.
As the analytics company notes,
The 27 -month high in daily wallet creation comes during a time when ETH CRowd Sentiment has revered particularly negative as other altcoins have surpassed it. Anyway, due to defi- and staking options for Crypto’s marketing supply #2, Ethereum is still the entire sector leader within total non-mutual addresses.
Historically, adoption is something that has been constructive for Cryptocurrencies, as a broader user base can provide a stronger foundation that future price movements can thrive.
However, the potential haisse effects of adoption usually only become obvious in the long term. Thus, it is unlikely that these new addresses have any noticeable influence on the price of Ethereum in the near future.
Tet price
Ethereum, as the rest of the Cryptocurrency sector, has crashed over the past day. After a reduction of about 7%, ETH’s price is trading below $ 3,100.
Looks like the price of the coin has plummeted over the past day | Source: ETHUSDT on TradingView
