Ethereum addresses rise, pushing ETH back to $3K – What’s next?

• Ethereum saw close to 350 new addresses in the last three days.
• ETH volume has climbed over $13 billion.

Ethereum [ETH] recently experienced positive price movements, pushing its price back above the $3,000 mark. Concurrently, the number of addresses surged to levels not seen since 2022.

Did this spike in new addresses lead to increased activity on the network?

Ethereum new addresses retest record number

According to data from Santiment, Ethereum experienced the highest daily new address creation between the 4th and the 5th of May, marking the first occurrence in nearly two years.

The chart showed that the daily new address count was over 196,700, a milestone not seen since the 8th of October 2022. 

Source: Santiment

Subsequent analysis of the network growth chart revealed a gradual deceleration in this surge.

By the close of trading on the 6th of May, the daily new address count had reduced to around 115,000, further declining to around 33,000 at the time of this writing. 

This influx is not unexpected, given Ethereum’s earlier flirtation with the $4,000 range this year.

It’s plausible that the influx of these new addresses anticipates Ethereum’s potential to retest and surpass that price threshold. The last time there was an influx in Ocober 2022, the ETH price rose months later.

New Ethereum addresses yet to become active

Overall, the number of Ethereum daily active addresses has risen since March. Per AMBCrypto’s look at the chart below, it has consistently remained above 500,000, dipping below this threshold only occasionally. 

Source: Santiment

Specifically, on the 4th and 5th of May, the count was around 560,000 and 556,000, respectively, with no discernible trends observed. At the close of trade on 6th May, the count was 536,000.

Also, as of this writing, the count was around 160,000.

While this suggests a healthy level of activity on the network, the recent influx of new addresses has yet to impact it significantly. These new addresses may be content to observe from the sidelines for the time being.

Ethereum volume goes over $10 billion

AMBCrypto’s look at Ethereum’s volume revealed that the influx of new addresses did not lead to any significant changes in trading activity.

Realistic or not, here’s ETH market cap in BTC’s terms

The chart displayed a recent decline in volume, and even on the day of the spike in new addresses, the volume remained below $10 billion.

It wasn’t until the 6th of May that the volume surpassed this threshold, going over $12 billion. As of the latest data, the volume was around $13 billion.

Source: Santiment