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Ethereum’s price has mirrored the general trend in the cryptocurrency market recently, rising to over $1,800 before retracing as part of a broader market correction.
As of writing, ETH is trading at $1,754, down 3.3% over the past 24 hours, while the total cryptocurrency market capitalization is down 3.6% over the same period.
While short-term price action reflects a shift in momentum, on-chain metrics signal deeper changes that could have broader implications for Ethereum’s network health and investor sentiment.
Ethereum long-term holders increase holdings, inflows hit multi-year high
The latest data from CryptoQuant shows that long-term Ethereum holders are increasing their activity. These wallets, known for never selling ETH, have seen one of the highest inflows in recent years.
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This coincides with growing network activity, including significant upticks in active addresses and transaction volume. Taken together, these developments suggest that, behind the surface volatility, the Ethereum ecosystem may be in a quiet phase of accumulation and user engagement.
CryptoQuant contributor OnChainSchool reports significant changes in Ethereum long-term holding addresses. In the past 48 hours, more than 640,000 ETH flowed into wallets that remained in strict accumulation mode and did not record any selling behavior.
This is the largest inflow to such wallets since 2018, indicating that entities with a long-term outlook are increasing their investments at the current price range.
The behavior of these accumulation-only wallets is often viewed as representative of investor conviction, particularly among participants who are not influenced by short-term volatility.
OnChainSchool said this activity during the price drop may reflect strategic positioning ahead of potential future developments.
Notably, these inflows come at a time when Ethereum fundamentals continue to advance, such as its transition to Proof of Stake (PoS), Layer-2 adoption, and the continued evolution of staking mechanisms. If this trend continues, it could help establish a support area around current price levels.
The number of active addresses has achieved double-digit growth, and network activity has increased
In addition to the increase in long-term holder activity, Ethereum network usage has also surged. Carmelo Alemán, another CryptoQuant analyst, highlighted that the number of Ethereum active addresses grew by nearly 10% between April 20 and April 22, jumping from about 306,000 to more than 336,000.
The metric counts unique wallet addresses that participated in transactions during a specific time period, either as senders or receivers. While the number of active addresses alone does not tell the whole story, Alemán noted that it should be considered alongside other metrics such as transaction volume, gas fees, transaction counts, and Layer 2 activity.
Increased address activity, especially when it coincides with a price increase, is often viewed as a sign of greater user engagement and growing demand for the application layer.
