Amid the ongoing market recovery, Ethereum is drawing widespread attention from crypto enthusiasts as network activity surges to record levels, with new wallet creations hitting an all-time high.
Bullish activity from whales and institutions further reinforced this narrative.
Recently, on-chain analytics platform Santiment revealed that Ethereum’s new wallet growth hit a fresh all-time high, with 393.6K wallets created on the 11th of January.
Over the past week, Ethereum averaged 327.1K new wallets created per day.
This indicates that more investors are entering the Ethereum network, signaling rapid user adoption. Additionally, it suggests growing network activity, which reinforces Ethereum’s bullish narrative.
Experts believe that sustained wallet growth often occurs when investors expect higher prices over the long term.
BitMine staked ETH reaches 1.53 million
Further strengthening this bullish outlook is Bitmine’s (the largest ETH digital asset treasury) continued ETH staking.
Crypto transaction tracker Onchain Lens disclosed that Bitmine staked a massive 186,560 ETH, worth $607.27 million, over the past 24 hours until press time.
This has pushed its total staked holdings to 1.53 million ETH, valued at approximately $5.1 billion.
In crypto, rising staking typically indicates growing confidence, as investors choose to lock their assets for the long term rather than selling.
This not only reduces the overall circulating supply of the asset, but it also signals a long-term bullish outlook.
On the 14th of January, ETH rose by 6.50% over the past 24 hours, pushing the asset to a key level of $3,330.
At the same time, massive participation from traders and investors was recorded, as trading volume surged by 90% to $34.18 billion during the same period.
Ethereum price action and key levels
AMBCrypto’s technical analysis on the daily chart showed that ETH has reached its key resistance level of $3,340, a zone with a strong history of price reversals.
Based on the current price action, if ETH can break this key resistance level, there is a strong possibility that it could see another price jump of 13.80% and may reach the $3,800 level in the coming days.
However, if momentum fades and ETH fails to close a daily candle above the $3,340 level, history may repeat itself, and the price could see a strong pullback.
ETH’s bullish thesis would only be validated if it clears the $3,340 level; otherwise, it would be invalidated.
Currently, ETH has moved above the 50-day Exponential Moving Average (EMA), indicating that short-term momentum is turning bullish.
However, the Average Directional Index (ADX), which measures the strength of a trend, has reached 24.81—below the key threshold of 25—indicating that ETH currently has weak directional momentum.
Major liquidation levels
Besides these bullish outlooks and price action, derivative tool CoinGlass showed that intraday traders were following the same trend. At press time, traders were strongly favoring long-leveraged positions over short ones.
The key levels where traders have shown significant interest are $3,296.3 on the lower side and $3,362.8 on the upper side.
At these levels, traders have built $446.31 million worth of long-leveraged positions and $249.48 million worth of short-leveraged positions, indicating that the short-term sentiment for ETH is currently bullish.
Final Thoughts
- Ethereum’s bullish outlook has strengthened as network activity surges to record levels, coupled with Bitmine’s continuous staking.
- Price action suggests that ETH is currently at a key level – if it successfully clears the $3,340 level, another 13.80% upside rally could be possible.
