Each ethhereum transaction requires ETH to pay gas, which generates cryptocurrency demand. If this situation is maintained, it will be bullish for the price of ETH, by supply and demand law. The daily transactions of Ethereum reached a historical (ATH) of 1.74 million on August 5, according to a 7 -day mobile average. In this way, it exceeded the 1.65 million mark that had been established in May 2021, reflecting a sustained increase in on-chain activity and a renewed interest in the network.
Daily transactions in Ethereum reached an AT of 1.74 million on August 5. Source: The Block. Likewise, it should be noted that Julio registered 46.67 million transactions, the largest monthly number of transactions in the history of Ethereum. Another fact that accounts for the increase in on-chain activity in Ethereum is that the number of active addresses increased to 683,520 on August 5, a step below the historical record of 743,730 that was recorded on May 12, 2021.
The increase in activity in Ethereum has a direct impact on the price of its Ethher (ETH)its native currency. It is that each transaction requires ETH to pay gas, which generates a demand for the asset. If this situation is maintained, it will be bullish for the price of ETH, which at the time of publication of this note is negotiated above 3,800 dollars.
Ether price from 2021 to August 7, 2025. Source: TrainingView. Vincent Liu, director of research at Kronos Research, highlights that the interest in Ethereum is promoted by the United States efforts to achieve regulatory clarity for cryptocurrencies and Institutional accumulation, one of the market trends. More and more companies are incorporating ETH into their corporate treasury to obtain extra performance through staking, as reported by cryptootics. A sample of this financial phenomenon is that more than 3 million ETH are in the hands of foundationscompanies, Dao protocols and governmental entities.
More than 3 million ETH are in the hands of institutions. Source: Strategicethreshreve.xyz
Liu, in addition, considers that the price of the asset still does not reflect the increase in On-Chain activity and believes that the great catalyst will be that the United States Stock Exchange and Securities Commission (SEC) approves the integration of the staking to the funds quoted in the stock market (ETF) of Ether.
