Although many cryptocurrencies are facing major declines due to overall market instability, the Ethereum (ETH) network is experiencing a significant growth surge, reaching its highest point in four months. This remarkable increase has led to speculations about the potential for a further rise in prices.
Strong Growth in the Ethereum Network
On September 9, Santiment, a market analysis platform, shared an X (formerly Twitter) update, showcasing a recent positive trend in the Ethereum network. Data from Sanbase Pro indicates that the Ethereum network has seen a significant boost in its growth metrics, highlighting increased activity and a potential bullish trend for the cryptocurrency.
Along with a detailed chart showing ETH’s price trajectory and network growth over the last few months, Santiment noted a remarkable rise in the daily creation of new wallets. Generally, growth in the Ethereum network is gauged by the number of new addresses established.
On September 8, around 126,210 new wallets were registered on the Ethereum network. Interestingly, even though Sundays are usually the quietest days, the network recorded its most significant growth in four months, achieving a new record.
The unexpected spike in new wallet addresses may imply that more users are engaging with the Ethereum network, indicating its increasing utility. Santiment sees this growth spurt as a potential precursor to a rise in the price of ETH.
Santiment anticipates that this growth could trigger a price rebound for ETH, particularly in the $2,200 to $2,300 range. Currently, ETH is just above this range at $3,314, and with the recent network growth, its value could witness a significant upward movement to new highs.
Forecast for Ethereum’s Price
Crypto analyst Tardigrade has identified a new pattern in Ethereum’s pricing chart. This chart features a “double bottom” structure, resembling a “W.” Such a pattern is often interpreted as a bullish signal, indicating that the cryptocurrency’s price drops to a low, rebounds, dips again to a similar level, and then rises.
For Ethereum, this double-bottom pattern typically signals the end of a downtrend. Therefore, Tardigrade suggests that a price reversal could soon occur. Ethereum has faced a declining trend recently, marked by volatility and price shifts mirroring those of Bitcoin.
Another market expert known as ‘Crypto Rover’ pointed out on X that Ethereum is down 3.59% for the year. Additionally, analyst Ali Martinez revealed that Ethereum whales seem to have lost interest and stopped accumulating ETH since early July, opting for selling or reallocating their holdings instead.
Despite these trends, Trader Tardigrade foresees a strong chance of a significant price increase for Ethereum shortly, predicting it could reach $3,900.
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