Quick Summary
- Ethereum active addresses surged 9.85% between April 20–22
- ETH broke past the $1,650 resistance, hitting $1,790
- Long-term holders accumulated over 640,000 ETH—the largest inflow since 2018
- Technical indicators show bullish momentum
- Network scalability efforts, like DAS and KZG commitments, are advancing
Network Activity Spikes Amid Rising Interest
Ethereum has witnessed a notable surge in network engagement. According to CryptoQuant analyst Carmelo Alemán, the number of active addresses jumped from 306,211 to 336,366 within just 48 hours—a 9.85% increase. Active addresses represent unique wallets participating in transactions, and such short-term increases often signal growing user interest or market engagement.
However, Alemán advised caution: “This spike, combined with a rise in ETH’s price, indicates a significant uptick in network activity,” he stated. “However, more supporting data is needed to confirm long-term momentum.” He emphasized the need to consider other metrics like transaction volume, gas fees, and the ratio of new versus returning users to draw a complete picture.
Price Action Breaks Through Key Resistance
Ethereum’s price action echoed its on-chain growth. Between April 20 and 22, ETH broke through the $1,650 resistance level that had capped gains for over a week. Following the breakout, ETH surged to $1,790, signaling renewed strength in market sentiment.
Supporting technical indicators reinforce this trend. ETH now trades above its 10-day and 20-day moving averages. The Relative Strength Index (RSI) climbed above 50, reflecting positive market momentum without entering overbought territory. The Moving Average Convergence Divergence (MACD) also shows early signs of bullishness, while the stochastic RSI hovers near its upper limit—a signal that often precedes short-term cooling unless fresh buying pressure kicks in.
Long-Term Holders Show Strong Accumulation Behavior
Investor confidence also seems to be strengthening. OnChainSchool reported that wallets known for holding ETH long-term—without selling—received over 640,000 ETH in a 48-hour window. This is the largest inflow into such addresses since 2018.
“Despite the price drawdown, long-term holders appear more committed than ever,” OnChainSchool noted. This behavior is particularly significant as it occurred during a phase of market volatility, indicating that strategic investors are accumulating while prices remain uncertain.
Ethereum’s Scalability Vision Progresses
On the development front, Ethereum is pushing forward with network scalability. A major milestone is the implementation of data availability sampling (DAS), a method that confirms data presence without full downloads, which is key to scaling the network efficiently.
This is being supported through KZG commitments, a cryptographic technique relying on a trusted setup ceremony. Vitalik Buterin highlighted that over 141,000 participants contributed to the most recent KZG setup, making it the largest to date. While broadly seen as secure, some concerns around the long-term trust assumptions remain within the community.
These advancements are part of Ethereum’s broader strategy to enhance scalability and maintain its relevance amidst the growth of Layer 2 solutions and cross-chain applications.
What This Means for Ethereum’s Future
Ethereum’s sharp increase in user activity, bullish price breakout, and strong inflows to long-term holders point toward a renewed phase of engagement. If this momentum continues, it could trigger a broader accumulation phase, potentially setting the stage for higher price targets in the near future.
As technicals and on-chain metrics align, market participants will be closely watching whether Ethereum can sustain this trajectory and enter its next growth cycle.