Ethereum’s network and price growth over the last year have been phenomenal despite the year-end price pullback.
Substantiating the network’s massive growth, recent data revealed that the ETH gained 18.36 million addresses with a balance greater than zero in 2021.
Ethereum’s Ethereal Growth
The network’s astounding growth rate over the last year translated to an astonishing growth rate of 1.53 million new addresses per month.
However, with new Ethereum killers mushrooming in the market, competition in the space seems to be getting increasingly intense for the top altcoin spot.
A Tweet from blockchain intelligence firm IntoTheBlock shared its data on Ethereum’s network growth on February 15.
That said, around 73% of holders were making money at the current price range of around $3,134.58 at press time, while, 22% of holders were Out of Money or losing money at this price level.
Vibrancy Still Stays Low
Over the last year, not only did the ETH network onboard several new users but also made two new all-time highs, one in May and another one in November. Despite the network gaining about 10 million addresses since October, the price growth wasn’t particularly correlated with the network growth.
While the overall numbers rose, there has been a decrease in the number of active addresses on the network.
Notably, active addresses were 1.05% of all addresses on January 1, 2021, and peaked at 1.66% on April 25, 2021, but have fallen to 0.86% as of February 15.
Furthermore, the number of whales holding more than 1,000 ETH saw a decline since the start of 2021. In fact, data from Glassnode presented that whale wallets reached a 4-year low of 6,226 just a couple of days back.
Whales moving away from ETH and fewer addresses active on the network highlighted that the network was less vibrant now than a year ago.
ETH Price Action
At press time, Ethereum traded at $3,136 noting over 8% daily gains in the last one day. Ethereum’s quick comeback above the $3100 mark has reignited ETH HODLers’ hopes of a rally for ETH.
Notably, recent reports expect Ethereum’s price to reach $7,609 this year, although it is expected to end the year at around $6,500, as reported in a previous piece.
However, with BTC getting rejected once again at the $45K mark, can the ETH gains sustain, or will another price pullback follow? The same remains to be seen.
This article was originally posted on FX Empire