Will This See Ethereum (ETH) Lose its Dominance and $1.6K Sight?
Ethereum has sustained its price superiority over Bitcoin as October ends. Moreover, the leading altcoin shows signals to command more. While publishing this blog, Ethereum exchanged hands at $1,628, gaining approximately 21.52% within the past thirty days.
Meanwhile, Bitcoin gained around 6.55% within that timeframe. Santiment shows Bitcoin will unlikely win the clash soon. The analytic site suggested that Ethereum registered new addresses higher than BTC.
Nevertheless, the surge was yet to trigger massive network growth, with the same decreasing to 65,600. Generally, active addresses increase leads to enhanced network growth. That translates to price impacts, excluding other external factors.
Time for More or Else,
Santiment added that Ethereum might require more than its current active address count to sustain its price surge. Failure to do that would see the leading alt losing the vital level of $1,600. Ethereum will crash the dominance it retained for months amid such developments.
Nevertheless, are their ETH chain sectors benefiting from the address uptick? Glassnode observed that retail investors accounted the most for the active address uptick. For instance, wallets holding 1,000 – 10,000 $ETH had declined.
While publishing this post, addresses with 10K ETH stood at 1,160, representing a drop from 1,165 on October 28. Compared to wallets with 0.1 ETH – 1 ETH, the large wallet investors maintained low accumulation.
While publishing this content, the retail new wallet count experienced a massive surge. Such a trend showed Ethereum could overcome $1,600 due to the increasing addresses. Furthermore, the alternative token may require an attractive reaction from institutional investors to maintain the current momentum.
Ethereum May Need More Action
Though Ethereum saw improvements in ‘smart’ contracts supply, retaining its dominance may need more than trader activity. In that context, the blockchain’s responsiveness should play a massive role. Nevertheless, Ethereum’s participation rate hadn’t marched the validator effect on October 26.
While publishing this content, Glassnode confirmed a 99.09% participation rate. That translated to minimal slots that network validators missed. Still, it boasted room to improve. Surprisingly, the current Ethereum price was profitable for market players.
Glassnode stated that ETH’s boasted a 56.78 million supply in profit. Considering these metrics, ETH could witness Bitcoin dominance till 2022 end.