Shortly after exceeding $4,000 On December 6, Ethereum (ETH) sank into a state of consolidation that showed no significant price action over the past day. With growing speculation about the altcoin’s next price move, CryptoQuant analyst Burak Kesmeci has shared a report suggesting a sustained Ethereum price rally.
US Election Results Push Ethereum Active Addresses to 417,000
Following the US election on November 5, Ethereum, along with a number of other cryptocurrencies, has seen massive price gains driven primarily by emergence of pro-crypto candidate Donald Trump as president-elect of the United States.
According Burak Kesmeci, The US election results removed much of the uncertainty around the cryptocurrency market while encouraging investment, as evidenced by the price gains of several tokens. In particular, Ethereum, known as the “father of altcoins,” has recorded 70% price growth since November 5, reaching a local high of $4,077.
As with all price rallies, there is continued speculation about Ethereum’s ability to maintain its current upward price trajectory. Joining the discourse, Kesmeci has drawn a bullish inference from the change in the asset’s active direction.
The CryptoQuant analyst highlights that during Ethereum’s recent price surge, active addresses on its network increased by 36.26% from 306,000 on November 5, to their current value of 417,000. This development indicates that Ethereum’s price rise was based on an equal increase in organic demand and market interest from blockchain investors and users.
In conclusion, Burak Kesmeci states that the growth of active Ethereum addresses supports the recent price rally as “healthy and sustainable.” Importantly, it is also a bullish signal indicating that ETH is likely to experience a long-term price rise.
ETH Price Overview
According to data from CoinMarketCap, Ethereum is trading at $4,006, reflecting a slight loss of 0.54% in the last 24 hours. For long-term investors, the prominent altcoin continues to make gains based on gains of 7.36% and 39.31% in the last seven and 30 days, respectively.
If ETH breaks higher after its current consolidation, the altcoin will face significant resistance at $4,100. However, breaking through this price zone opens up a potential path towards $4,900, which is around Ethereum’s all-time high at $4,891.
Aside from the increase in active Ethereum addresses, other developments continue to contribute to the rise in bullish sentiments around the second-largest cryptocurrency. This includes a surge in inflows into Ethereum spot ETFs, backed by a Total cumulative net inflow of $1.41 billion. Additionally, the alt season appears to be starting with widespread gains leaning towards will occur in early 2025.
Fountain: NewsBTC.com
