Among the multitude of charts, predictions and data that can be taken into account to forecast, at least in part, the future performance of an asset such as Ethereum, the number of active addresses is certainly relevant as it is synonymous with user growth.
Data on Ethereum by Santiment
According to Santiment‘s recent data, these active addresses fall when the ETH price is in the $200 – $215 range.
Active addresses on Ethereum
Let’s begin by analyzing the life cycle from the inception of the Ethereum blockchain from which a recurring pattern can be seen, i.e. when the price increases the activity of the addresses increases exponentially: in fact, the number of addresses that are activated ranges from 40 thousand to 100 thousand in a few weeks when the price of ETH goes up.
It is interesting to note that this phenomenon repeats itself: the decrease in the activity of the addresses always occurs when the price of ETH is in the threshold between 200 and 215 dollars. Moreover, this downward trend continues in the following 3 months.
If instead, we move to look at the address data of the last 6 months, this trend becomes even clearer.
Now, as can be seen from the chart, the price of ETH has started to recover after the crypto crash in mid-March and has steadily risen to $200, and when this happens the active addresses usually decrease, as Santiment explains in his tweet.
Santiment is a crypto analytics tool that allows measuring different metrics of the cryptocurrency market including social engagement.
The price of ETH
In any case, even if it is almost impossible to predict how the price of ETH will fluctuate in the coming months, it is certain that it will benefit from the integration of PoS (Proof of Stake) which will bring a wave of novelty on this blockchain and thus could push the price upwards.