The most recent increase in the price of Ethereum (ETH) and its total on-chain activity should be more correlated. Recent findings from cryptocurrency monitoring service provider Glassnode claim that despite relatively low transaction costs, network activity is slowing down.
For more context, the Glassnode data revealed that petrol prices surged by 78% during the Shanghai upgrade event in April, which came before a comparable spike in the ETH markets, as opposed to the 28% increase so far this week.
This suggests that since they would pay substantially less for transactions, Ethereum users should be more encouraged to adopt the protocol.
With a decrease of 2.64% over the previous 24 hours and a decrease of 2.60% over the previous 7 days, Ethereum’s price is currently trading at $1,904.93. The overall amount of ether locked up in smart contracts has decreased from the year-to-date period, which is another factor supporting the decreased on-chain or network activity.
Ethereum maintains its luster
Despite the bleak picture for the protocol’s network activity, Ethereum continues to be the most liquid smart contract hub available. The fact that activity is limited does not necessarily change analysts’ present opinions, which maintain that bitcoin is developing a positive moment.
The Ethereum blockchain is made up of many different components, but when it comes to the created interest in currency accumulation, whales are taking centre stage with massive transactions that are breaking records on a daily basis.
The second-largest cryptocurrency by market value, Ethereum, has steadily held onto its position. The Ethereum development community has been fervently working to roll out a variety of projects that will improve the protocol’s usability and security. The new token standard ERC-7265 is one of the new projects that tries to stop the hacking of DeFi protocols, as we recently saw in the instance of Poly Network.
