Ethereum Gas Used Drops 16% – Risk of Network Downtime?
During the data analysis, ETH gas consumption decreased from over 65 billion to 55.06 billion, ending a period of peak network activity. This may reflect system optimization or reduced on-chain demand. The rate of decline raises questions about the sustainability of interactions within the ETH network. If gas consumption continues to decrease along with less address activity, the market is likely to experience downward pressure or a prolonged sideways trend. However, if this is just a reset before growth resumes, a breakout in interactions is expected in the near future.
Source: Santiment
Will long-term holders remain confident amid changing wallet behavior?
In the last 30 days, the amount of long-term wallets has not changed much, indicating that large investors are neutral. In contrast, the average investor's wallet has increased by 6.46%, indicating a temporary increase in confidence in ETH. In particular, the concentration ratio of small wallets has increased slightly by 0.21%, reflecting the hesitation of small investors. These distribution trends indicate that the ETH supply is still tightly controlled, which may reduce market volatility until a clear breakout or decline occurs. If there is a large shift in this distribution ratio, the market sentiment will tend to be clearer.
Source: IntoTheBlock
ETH MVRV Ratio Analysis – Where is the Market at?
Currently, ETH’s MVRV stands at 23.05%, indicating that short-term profit-taking investors outnumber long-term holders. However, looking at the big picture, the Long/Short spread remains negative at -7.71%, reflecting that long-term investors are still above their average price. This gap creates a psychological divergence between short-term expectations and long-term strategies. While short-term positive sentiments may drive the rally, long-term holders remain the pivot that keeps the price stable. If these indicators do not align, ETH will remain sideways, caught between hope and hesitation.
Source: Santiment
Gas Mass Distribution – Is This a Sign of Sustainability?
With ETH gas dropping from over 65 billion to 55.06 billion, it is possible to see that the network activity is slowing down, or the system is optimizing. This rate of change does not have a clear impact on the price structure, but raises the question of maintaining user engagement. If gas continues to decrease in conjunction with less address activity, the downtrend or sideways trend will continue. Conversely, if this is just a reset before a new growth phase, the market may soon see an increase in activity.
Source: Santiment
New Wallet Development Potential – Prospects for Long-Term Growth?
Over the past week, the number of newly created wallets increased by 9.77%, indicating renewed interest in ETH. However, the number of daily active wallets decreased by 1.35%, reflecting caution or cautiousness on the part of users. This phenomenon is common in the early stages of recovery, when curiosity is high but confidence is not strong enough to drive actual activity. If both of these metrics move positively in sync, it will signal the establishment of a foundation for more sustainable growth in the long term. At this point, this pattern reflects caution but positive expectations in the Ethereum market.
Source: IntoTheBlock
Conclusion: Can ETH Surpass $2,824 or Stay Sideways?
While ETH’s technical model is quite positive, on-chain indicators are still conflicting, so caution is needed. For the price to move beyond the current range, a consensus between network activities and valuation indicators is required. If the $2,824 resistance level is broken along with increased activity, the bullish momentum will likely accelerate. For now, the market is waiting for more solid evidence to confirm a clear direction for ETH in the near future.
Source: https://tintucbitcoin.com/ethereum-chuan-bi-vuot-moc-3-237-usd/
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