Ethereum (ETH) is growing, however, in a very subtle way. The protocol has broken a major network stalemate as on-chain data shows a surge in activity.
Ethereum Rebirth Might Be Close
Per data from crypto analytics provider Santiment, the rebound of Ethereum above $3,200 this weekend came with network growth. As recorded, approximately 196,710 new addresses were created in a single day on May 4, 2024.
Santiment noted that this milestone is the largest single-day growth since October 8, 2022, an almost 19-month breakout.Â
As of the time Santiment shared the data, network growth fell slightly to 90,171 ETH. To complement this, the total number of ETH holders comes in at 121.17 million. The price shows slight volatility soaring from a low of $3,064.01 to a high of $3,153.82.
📈 #Ethereum rebounded back above $3,200 this weekend, and saw massive network growth. 196.71K new addresses were created on the $ETH network on May 4, 2024, the largest single day of growth since October 8, 2022. This should be viewed as a #bullish sign. https://t.co/l9iFVWCJpE pic.twitter.com/MlHQTvKKN0
— Santiment (@santimentfeed) May 6, 2024
Ethereum has maintained its stance as the second-largest crypto with a market capitalization of $369,163,134,964. The token has a notable network trend with traders capitalizing on its extensive liquidity. Notably, one Ethereum wallet raked in more than a 30,800% gain from trading $BRETT tokens.
Besides this, transaction fees on Ethereum hit its lowest point in 6 months on April 28. This network growth comes off as a bullish signal that analysts tipped could drive a price rally.
Spot Ethereum ETF Controversy
The general market outlook of Ethereum is dampened in part by the uncertainties surrounding its ETF approval in the US.Â
The market regulator has maintained limited communication with prospective issuers despite VanEck’s deadline set for May 23. Many see this as a negative sign for the much-anticipated approval. In line with this, many entities including Standard Chartered are no longer optimistic about getting approval this month.
If the US Securities and Exchange Commission (SEC) denies the ETF approval, it might stir a reversal in Ethereum’s growth. However, investors in Asia may take solace in the spot Bitcoin and Ethereum ETF that was launched in Hong Kong earlier in April.
