Ethereum finds itself grappling with resistance just below the $3,000 mark, with recent recovery attempts falling short of generating significant momentum. As of now, ETH is trading at approximately $2,986, maintaining a cautious sentiment among investors.
The enthusiasm for Ethereum is evident as new wallet creations surge, averaging around 163,000 new addresses daily. This figure marks an increase from the approximately 124,000 daily additions observed in July, a month previously recognized for its strong network growth.
This surge in wallet creation indicates that investor interest in Ethereum is robust, even as the price performance remains lackluster. However, the influx of new addresses does not necessarily translate to immediate price appreciation.
Current macro indicators offer a mixed perspective. The network value-to-transactions (NVT) ratio for Ethereum has reached a 16-month peak, suggesting potential overheating in the market. A high NVT ratio implies that the market valuation is escalating faster than the transaction activity on the network. Although optimism surrounding a recovery is driving interest, the lack of corresponding network usage raises concerns.
As Ethereum continues to hover near the $3,000 resistance level, the failure to break through this barrier has fostered a sense of caution among traders. Given the weak transaction activity, there is a possibility that ETH could remain in a consolidating phase or briefly breach the $3,000 mark without sustaining support.
Should the transaction volume continue to lag, there is potential for downward pressure, with the $2,798 support level being a point of concern, indicating unresolved macroeconomic imbalances.
Conversely, an uptick in transaction activity could bolster Ethereum“s prospects, allowing it to establish the $3,000 level as a support point. A sustained hold above this threshold could pave the way toward a target of $3,131, with a decisive break beyond this point potentially invalidating the current bearish outlook and enabling ETH to aim for $3,287, fostering renewed confidence among investors.
