- Ethereum has struggled to reclaim the $2,000 price level after the Shapella upgrade.
- Amid this price struggle, growth in a key metric has gone unnoticed.
- The growth comes as developers prepare to roll out a major upgrade in Q4.
In April, the Ethereum Shapella upgrade sparked a mini-price rally that saw ETH climb over the $2,100 price point for the first time since May 2022.
However, as the excitement died down, ETH’s price nosedived to lows of about $1,635. Despite recent strong market moves led by optimism that the United States Securities and Exchange Commission will approve a spot Bitcoin exchange-traded fund, the asset has been unable to reclaim the $2,000 price level.
But amid this struggle, some of Ethereum’s progress has gone unnoticed, particularly in network growth.
Over 550K ETH Addresses Added in a Week
This week alone, over 550,000 new addresses have appeared on the Ethereum network, according to data from Santiment Feed. As highlighted by the on-chain analysis firm, the current pace of network growth is the highest in the last four months.
It is worth noting that a surge in the number of new addresses is typically viewed as a bullish signal, as it indicates that more investors and users are springing up, translating to increased capital inflows to the network.
At the time of writing, it is not immediately clear what has sparked this surge in network growth, and Santiment Feed did not immediately respond to a request for comment.
Still, the recent rise in network addresses notably comes as developers prepare to release “Dencun,” Ethereum’s next major upgrade, sometime in Q4 2023. The most talked about feature in this planned upgrade is proto-danksharding, which developers tip to improve the scalability of the network.
Despite Ethereum’s failure to reclaim the $2,000 price level, IntoTheBlock data reveals that 67% of holders are in profit. At the time of writing, the asset is trading for $1,870.75, down 0.86% in the last 24 hours, per data from CryptoCompare.
On the Flipside
- ETH is up about 56% year to date.
- The recent growth in addresses does not guarantee a rise in the price of ETH, as several other factors affect the asset’s price.
Why This Matters
The recent growth in Ethereum addresses suggests that more users are adopting the network despite recent price struggles.
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