On-chain data shows that the Ethereum network has been observing high address creation recently, a sign that adoption could be going up.<\/p>\n
According to data from the on-chain analytics firm Santiment<\/a>, ETH\u2019s network growth has now hit its highest level in around four months. The \u201cnetwork growth<\/a>\u201d here refers to a metric that keeps track of the total amount of new addresses that are being created on the Ethereum blockchain.<\/p>\n When the value of this metric is high, it means that a large amount of new addresses are coming online on the network. New addresses may be considered analogous to new users joining the chain, so this kind of trend can be a sign that the cryptocurrency is observing high adoption<\/a> at the moment.<\/p>\n On the other hand, low values of the indicator can imply not many new investors are coming to the network as there aren\u2019t many new ETH addresses being created. Such a trend can be a sign that the asset isn\u2019t looking very attractive to the general public currently.<\/p>\n Now, here is a chart that shows the trend in the Ethereum network growth over the last few months:<\/p>\n\n As displayed in the above graph, the Ethereum network growth has been observing a rise recently. This would suggest that addresses are being created at increasingly faster rates right now.<\/p>\n Generally, adoption picks up during periods of high price volatility as the investors usually find such price action exciting, and so, the network growth indicator can register a spike.<\/p>\n Recently, however, the asset\u2019s price has been mostly moving sideways below the $1,900 level, making it interesting that the indicator has been going up nonetheless. Perhaps the general investors saw the rally<\/a> that lead up to this period of consolidation and now think that it may pick up again eventually.<\/p>\n During the past week alone, the metric has seen a combined value of 550,800, meaning that 550,800 new addresses have just been created on the Ethereum network in this period.<\/p>\n Usually, adoption can have a constructive effect on the cryptocurrency\u2019s price, as it shows increasing interest in the asset, which is generally also accompanied by an influx of more capital into the coin.<\/p>\n Though, the impact from such a growth in the network doesn\u2019t usually immediately appear; the effect on the cryptocurrency\u2019s market cap may be visible in the long term.<\/p>\n Still, the adoption accelerating while the rally has slowed down to a crawl can be a positive for those hoping to see the price surge restart, as it at least means that interest in the asset hasn\u2019t died down yet.<\/p>\n At the time of writing, Ethereum is trading around $1,800, down 1% in the last week.<\/p>","protected":false},"excerpt":{"rendered":" <\/p>\n On-chain data shows that the Ethereum network has been observing high address creation recently, a sign that adoption could be going up.<\/p>\n According to data from the on-chain analytics firm Santiment<\/a>, ETH\u2019s network growth has now hit its highest level in around four months. The \u201cnetwork growth<\/a>\u201d here refers to a metric that keeps track of the total amount of new addresses that are being created on the Ethereum blockchain.<\/p>\n When the value of this metric is high, it means that a large amount of new addresses are coming online on the network. New addresses may be considered analogous to new users joining the chain, so this kind of trend can be a sign that the cryptocurrency is observing high adoption<\/a> at the moment.<\/p>\n On the other hand, low values of the indicator can imply not many new investors are coming to the network as there aren\u2019t many new ETH addresses being created. Such a trend can be a sign that the asset isn\u2019t looking very attractive to the general public currently.<\/p>\n Now, here is a chart that shows the trend in the Ethereum network growth over the last few months:<\/p>\n As displayed in the above graph, the Ethereum network growth has been observing a rise recently. This would suggest that addresses are being created at increasingly faster rates right now.<\/p>\n Generally, adoption picks up during periods of high price volatility as the investors usually find such price action exciting, and so, the network growth indicator can register a spike.<\/p>\nETH Price<\/h2>\n
Ethereum Network Growth Has Registered High Values Recently<\/h2>\n