Ethereum Sees Daily Transactions Surge Past 1.6 Million, Breaking Four-Year Stagnation
Ethereum's daily transaction numbers rise significantly as gas usage and NFT activity expand its role in decentralized finance.
Ethereum (ETH) has achieved a significant milestone, surpassing a crucial threshold of daily transactions after four years of stability. The daily volume on the network had been constrained to a range between 900,000 and 1.2 million transactions but recently jumped to between 1.6 and 1.7 million.
This increase signals Ethereum’s growing adoption, corroborated by data from Etherscan, illustrating a consistent upward trend surpassing previous years.
Activity Rises as Ethereum Drives DeFi Growth
Analyst Darkfost from CryptoQuant monitored the surge using a 14-day moving average to filter out typical volatility, indicating that the latest jump marks a notable deviation from the previous stability.
He attributed this increase to the expanding demand for decentralized finance (DeFi), positioning Ethereum as a platform for liquidity support, lending, and stablecoin transactions. This rapid growth in on-chain transactions is closely linked to ETH’s market performance, suggesting a strong fundamental basis for price resilience.
The data indicates that even during bearish market sentiments in late March, Ethereum was already averaging over 1.2 million daily transactions, laying the groundwork for the current surge.
In addition, IntoTheBlock has previously noted an increase in gas consumption on the main chain, indicating greater smart contract activity. Moreover, stablecoin transfers on Ethereum have also accelerated, contributing to the rising transaction counts.
The surge is also evident in the realm of NFTs, with reports from CryptoSlam indicating a significant rise in ETH-based NFT sales, driven by increased minting and rollup settlements.
Future Outlook on Accumulation and Reserves
As Ethereum’s infrastructure grows, the ETH token itself has been gaining traction, recently crossing the $4,400 mark, reflecting a robust market presence. Institutional interest is climbing, as a report reveals that treasury firms now possess a higher percentage of ETH (4%) compared to Bitcoin (3%), hinting at a potential shift in corporate investment strategies.
The combination of strong transactional growth and a breakout in price above $4,000 encourages analysts to anticipate substantial upward movements. One trader, Merlijn, illustrated Ethereum’s long-term trajectory as a ‘ladder’ with the latest price movement laying the foundation for future increases.
He pointed out an ascending channel projecting possible targets at $6,500, $8,000, and even $10,000. Concurrently, market analysts are closely monitoring resistance levels, identifying the $4,350 barrier as crucial; breaching this could signal further upward momentum towards the $4,790 target.
