Ethereum continues to struggle near the $3,000 level as repeated recovery attempts lose momentum. ETH is trading just below this psychological barrier, reflecting a cautious sentiment.
While investor interest is increasing, on-chain activity remains low. This discrepancy raises concerns that the price of Ethereum may overheat without sufficient network usage to sustain gains.
Ethereum holders are increasing
Ethereum continues to register a sustained increase in the creation of new wallets. The network average is now around 163,000 new addresses daily. This is compared to about 124,000 daily additions during July, which was previously considered a peak growth period for the network.
This rise highlights strong investor curiosity towards Ethereum despite weak price performance. The increase in wallet creation suggests that demand for exposure remains. However, new addresses alone do not guarantee price strength.
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Macro indicators present a mixed picture. The value-to-transaction ratio on the Ethereum network is sharply rising. The indicator is currently at its highest level in 16 months, suggesting a potential increase in heat.
A high NVT ratio indicates that market valuation is growing faster than transaction activity. Optimism about recovery seems to drive interest, but real usage has yet to follow. Without increased on-chain activity, price advances may stall as valuation exceeds fundamentals.
Ethereum is trading near $2,986 at the time of writing this report, slightly below the $3,000 resistance. This level has been tested repeatedly in recent sessions. The failure to break above it has heightened caution among traders who are waiting for confirmation.
ETH may continue to consolidate below $3,000 or break it briefly without holding support. If transaction activity remains weak, downward pressure may return. In this case, support at $2,798 may be tested again, reflecting unresolved overall balance imbalances.
Improving conditions may change the outlook. An increase in transaction volume will help Ethereum hold $3,000 as support. Maintaining this level may open a path towards $3,131. If this persistent barrier is surpassed, continued breakout will nullify the negative hypothesis and allow ETH to target $3,287, restoring confidence.
