Ethereum leads in the number of active addresses with a share of 43%.
ETH has increased by 3.74% over the past week.
Since hitting a local low of 2,379 USD, Ethereum [ETH] has recorded significant growth on the price chart.
This altcoin has also managed to recover previous losses to reach a high of 2,721 USD.
According to IntoTheBlock, the recent upward momentum may be driven by strong on-chain activity. Thus, ETH has increased addresses, surpassing many other altcoins.
Ethereum leads in the number of active addresses
According to IntoTheBlock, Ethereum is currently leading in address dominance. This altcoin therefore leads in active addresses with 43%.
Source: X
At this time, Tron ranks second with a share of 27% of addresses, indicating an expansion of the user base.
Other coins like Tether's USDT and Toncoin also show significant participation in trading.
Ethereum's dominance reflects strong network activity and acceptance, which are key factors for the next price surge. Generally, prices rise when the market fundamentals are strengthened.
This analysis shows that Ethereum is currently the most active blockchain in dApps, DeFi, and NFT, with sustained demand and interest.
Can ETH break out?
In most cases, growth in active addresses leads to higher prices. This has been witnessed over the past week. Accordingly, the current market conditions could set ETH up for more benefits on the price chart.
Source: Cryptoquant
First, the supply rate on exchanges of Ethereum has dropped to a monthly low over the past week. This rate has decreased from a high of 0.145 to 0.141, signaling increased accumulation.
Therefore, investors are withdrawing assets from exchanges to store in cold wallets, reflecting market confidence.
Source: Santiment
Additionally, the Long/Short MVRV divergence of Ethereum has remained negative over the past week.
This not only shows that long-term holders are confident in the altcoin's prospects but also signals an accumulation phase.
What awaits Ethereum
According to TinTucBitcoin's analysis, Ethereum is currently building strong growth momentum.
Proven by a declining ADX, while +DI has risen to 26.
Source: Tradingview
In fact, at the time of writing, Ethereum is trading at 2,643 USD. This marks a 3.74% increase over the past week.
As predicted, the increase in active addresses indicates rising demand for the altcoin. If this continues to rise and strengthens the fundamentals, ETH will see more benefits.
Therefore, with a strong upward trend, Ethereum is well positioned to challenge the resistance level of 2,800 USD.
Stay tuned @TinTucBitcoin for the latest updates.
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