On Chain Insights Are On The Bull Side, Can Ethereum Stay above $3K?

• 1 Social metrics, such as Twitter news, followers, and overall social volume, show Ethereum’s rising popularity.
• 2 Ethereum’s monthly active users have surged to nearly 7.6 million in 2024, a substantial increase from 1.6 million in 2022.
• 3 Layer 2 solutions are nearing record-high user interaction levels.

An Analyst recently provided an update on the X platform regarding Ethereum. The analyst shared the on-chain insight in a tweet. It indicated the number of distinct addresses interacting with one or multiple layers has steadily increased since the beginning of 2024. 

The Analyst, Leon Waidman, noted that layer 2s are on the verge of reaching a new all-time high in user engagement.

The analyst’s tweet also provided further on-chain insights. It revealed Ethereum has broken records with almost 7.6 million monthly active users across the ecosystem. The analyst even predicted that the growth trajectory of the Ethereum ecosystem is still absolutely explosive. It will continue to grow in the future.

On Chain- The transaction volume ratio in daily profit to loss

Ethereum’s daily on-chain transaction volume shows that 339,000 ETH transactions were profitable, while 245,000 ETH transactions were at a loss. The current profit-to-loss volume ratio stands at 1.384>1.

It indicates that despite most holders experiencing a period of loss due to the recent downtrend in the cryptocurrency market, the situation shows signs of recovery. As reflected in the latest chart metrics, the decrease in the volume of transactions at a loss suggests an improvement in holder sentiment.

The data implies that after a significant market drop, the volume of profitable transactions is increasing as the profit-to-loss ratio has risen above 1 and continues to climb. This trend points to a growing positive sentiment among Ethereum holders, suggesting a higher likelihood of additional buying activity in the market.

Significant Rise In Ethereum Active Wallet addresses

Active addresses refer to unique addresses of token users that participate in one or more transactions within a given timeframe. The number of distinct addresses in the Ethereum that participated in a transfer for the given asset in the past 24-hour window is 35.6K transactions, the 7-day window is 544 K transactions, and the 30-day window is 2.83 Million transactions. 

It illustrates that more people are using and trading the crypto, implying a higher demand and value for the token as the active addresses of ETH Crypto are increasing over time. 

Twitter Followers Are On The Consistent Rise

The indicators of social dominance, such as the volume of Ethereum-related news on Twitter, the number of Twitter followers, and the overall social volume encompassing active Telegram and Twitter users, are all on an upward trend. 

Additionally, there’s a noticeable increase in the number of active users and discussions about Ethereum on Twitter. These metrics collectively affirm Ethereum’s growing popularity in the social sphere.

How Sure Is Ethereum Crypto’s Hold above $3K?

The ETH crypto is experiencing a surge of 0.27% in the last 24 hours, trading at $3044.3. The price action shows a falling wedge scenario, and bears are failing at $3000 support.

Therefore, if the demand for the ETH asset price remains high, it could bounce back from the current level. The next goal for the price is to break out and reach targets like $3350.0 and $3650.0.

However, if the ETH crypto price fails to stay above the $3000.0 level, it could decline further, triggering a downtrend.

Summary

The analyst’s insights and the outlook for Ethereum are optimistic as it shows continued growth and price stability. Price targets of $3350 and $3650 are projected if the current demand persists, but a drop below $3000 could lead to a downtrend.

Disclaimer

In this article, the views, and opinions stated by the author, or any people named are for informational purposes only, and they don’t establish the investment, financial, or any other advice. Trading or investing in cryptocurrency assets comes with a risk of financial loss.

Ritika Sharma

With a background in journalism, Ritika Sharma has worked with many reputed media firms focusing on general news such as politics and crime. She joined The Coin Republic as a reporter for crypto, and found a great passion for cryptocurrency, Web3, NFTs and other digital assets. She spends a lot of time researching and delving deeper into these concepts around the clock, and is a strong advocate for women in STEM.