Ethereum’s rally accelerates…new wallet creations hit a record high

The number of newly created wallets on the Ethereum (ETH) network has surged to an all-time high.

On the 14th (local time), on-chain analytics firm Santiment said via its official X account that “daily new Ethereum wallet creations hit a record high on the 11th, reaching 393,600.”

Santiment pointed to factors such as the Fusaka upgrade and stablecoins as drivers behind the sharp rise in new Ethereum wallets. “Ethereum implemented the Fusaka upgrade in early last month, lowering fees and making dapp and rollup usage smoother,” Santiment said, adding that “this has increased incentives for new users to create wallets and enter the network.” It also noted that “as of Q4 last year, stablecoin transfer volume on the Ethereum network reached about $8 trillion, the highest on record,” and said that “(the network’s) real financial activity acts as a factor attracting new users who create new wallets.”

Santiment emphasized that “as the market moved from last month into this month, on-chain data and social indicators captured signs of new users flowing into the Ethereum ecosystem.” It added that “growing demand to explore a range of applications, such as DeFi and non-fungible tokens (NFTs), appears to have led to the creation of new wallets.”

It also cited the price uptrend. According to CoinMarketCap, Ethereum was trading at $3,323.42 as of 3:22 p.m. that day, up 6.3% from the previous day. Compared with a week earlier, it was up 2.26%.

Santiment said that “around year-end and the start of the new year, investors and developers tend to recalibrate their strategies for the year ahead, improving sentiment across the broader crypto market,” adding that “since mid-month last month, (Ethereum) investor sentiment has shifted from negative to neutral and positive.”