Ethereum experiences significant activity increases, seen through a 449,000 ETH inflow into long-term wallets. Daily transactions hit 1.329 million, and active addresses rose nearly 10%. Institutional interest is growing, brewing a potential bullish trend, although challenges like lowered network fees and price resistance remain.
Ethereum is seeing a notable surge in network activity, indicating robust investor confidence. Recently, a substantial inflow of 449,000 ETH, worth around $785 million, has moved into long-term wallets. This clearly suggests that investors are banking on Ethereum’s future, displaying a strong move toward consolidation and stability amid market fluctuations.
On April 23, it was recorded that Ethereum’s daily transactions hit about 1.329 million, showing a 2.78% daily increase and a 10.8% rise year-on-year. Such numbers highlight a renewed interest in the practical applications of Ethereum, strengthening its position in the crypto space. An increase in active addresses was also noted; from April 20 to 22, they rose nearly 10% to 336,366, demonstrating heightened user engagement.
The accumulation of ETH by long-term holders is particularly striking. The aforementioned transfer of 449,000 ETH into wallets that have never sold before signals strong conviction among holders about the asset’s long-term potential. Furthermore, over 640,000 ETH was shifted into wallets recently, marking the largest influx since 2018, underscoring strategic positioning by long-term investors.
Institutional interest in Ethereum is notably on the rise as well. On April 24, Ethereum ETFs received a net inflow of $63.5 million, with the ETHA ETF grabbing $40 million of that pie. Despite this bullish movement, the market witnessed a net outflow of $23.9 million the previous day, predominantly from ETHA, illustrating the volatile strategies that institutions employ in the crypto space.
Whales are also resurfacing in the market after a prolonged absence. On April 25, notable purchases of 1,291 ETH at an average price of $1,768 reflect a bullish sentiment brewing among significant holders. Such strategic buying often indicates confidence in short-term price increases.
Price action for ETH has been positive, spiking up by 12% to approximately $1,780 on April 23. Analysis highlights potential resistance at around $1,860, and should this barrier be breached, there may be a possible jump towards the psychological $2,000 mark. The technical outlook shows Ethereum trading in a bullish channel, supported near $1,645, with targets beyond $2,045.
Despite the buoyant indicators, challenges loom. Ethereum’s network fees have drastically diminished by 95% since January, raising buzz about actual demand for its network. The utilization rate, lingering around 50.65%, also suggests potential for more activity. Besides, Ethereum still trades below its previous highs, and analysts are torn over whether current lows signify a “generational bottom”. Hence, while the landscape looks optimistic, investors should approach with caution as Ethereum navigates this tricky terrain in the evolving crypto ecosystem.
