Ethereum price and network data are growing together, which might be the beginning of a strong trend
As Bitcoin breaks through strong resistance at $ 55,000 like a knife in butter, Ethereum is consolidating in the $ 3,500 to $ 3,600 area for five consecutive days. But while the price action on the second-biggest cryptocurrency stagnates, Santiment on-chain data shows significant growth on the network, which can be tied to the increasing popularity of both the DeFi and NFT industries once again.
Increase in the number of addresses
The on-chain data provided shows a massive spike on the network growth chart with 155,230 new addresses registered on the network. This is the highest number of addresses created in one day since May 18. The sharp increase in the number of users is seen as a strong bullish sign because more active users present on the network equals more transactions and fees spent.
The increased growth rates on the network are most likely tied to the progressive rise of the DeFi industry. Previously, U.Today reported that the total value stranded in the industry has reached a new ATH of $ 210 billion. In addition to DeFi, the NFT industry has also recovered previously lost trading volumes.
With Ethereum remaining the most popular channel for the DeFi and NFT industries, increasing the number of addresses will most likely become a trend until fund inflows remain stable in the cryptocurrency market.
Exchange inflows start rising
With Ethereum flirting with the previous ATH zone, more traders decided to take their profit rather than risking another major correction on the market.
With more addresses appearing on the network, inbound exchange flows are showing the first signs of growth, which is not significant and does not create major selling pressure for Ethereum.
