By Alicia Maher
The crypto market may have experienced more bearishness than bullishness since late last November, but it hasn’t stopped people from jumping into owning crypto or increasing their portfolios. A recent report explains that the number of addresses holding 0.1 – 1 ether has hit a new high, proving an increase in the number of participants.
Prominent blockchain analytic IntoTheBlock revealed that ETH adoption is at an A.T.H. Addresses holding 0.1 – 1 Ether has skyrocketed by a whopping 98%, as they carry 1.78 million ether. This represents a 4.5% increase from January.
ETH Adoption Shows No Signs of Retrogression
Addresses holding 0.1 – 1 ether isn’t the only thing to be celebrated about. Even those with 1 – 10 ether witnessed a climb recently. IntoTheBlock reports that addresses with such holdings reached million.
The increase in adoption is no surprise, given the use cases of the Ethereum blockchain. Currently, DeFi and NFTs are the most popular use cases of the PoS network. The rise in these booming sectors is responsible for the accumulation of ether.
Aside from addresses, there’s also an update regarding the new ETH 2.0 deposit contract. Another blockchain analytic Glassnode confirms an incline in the number of investments in the ETH deposit contract, with value hitting an All-Time High of 9.39 Ether.
In January, Ethereum Foundation recreated ETH 2.0 to suit the current roadmap and objectives of the network because it was utterly misrepresented. Ethereum 2.0 was rebranded to the consensus layer, while ETH 1.0 was altered to the execution layer.
ETH 2.0, now the consensus layer, aims to transition the network from PoW framework to PoS mechanism in a bid to cut down on mining costs and make the environment healthier. Blockchains like Bitcoin were the first to use the Proof-of-Work mechanism and still do. However, the emergence of green energy initiatives will seek to mitigate the effects of the PoW framework.
Ethereum Price Action
Like other major cryptocurrencies, Ethereum has been performing poorly in the market. The second-largest crypto on market cap has been unable to break the resistance level of $3.5k and surge past the $4k mark. The last time it did this was in November when it attained an A.T.H. of $4.8k.
Blockchain expert Ali Martinez is optimistic that ETH can kickstart a sustained bullish run once it breaks the $3.5k barrier, judging by the chart provided by IntoTheBlock. According to him, the altcoin is positioned to go higher than its current price, but it would have to break the resistance level first.