Ethereum Sees All-Time High Increase In Wallets Holding More Than 1 ETH

Ethereum Transaction Fee Falls to 49-Day Lows
Ethereum Transaction Fee Falls to 49-Day Lows

The massive bull run that Bitcoin started off, dragging all the other assets with it, is doing more for Ethereum than just jump its price higher. As it stands now, there has been a notable increase in ETH wallets that hold more than 1 ETH, as revealed by Glassnode, the crypto data provider.

Glassnode’s data for the 5th of December, 2020, makes it clear that, at that time, a total of 1,175,681 addresses in total hold 1 ETH or more.

Investors Seemingly More Bullish For ETH

What this rise in wallet numbers mean for Ethereum at large, is a potential indicator that the second-largest cryptocurrency out there has seen a greater level of interest gained by investors, accumulating more of it as a result.

This move could ultimately benefit Ethereum when it comes from the cryptocurrency’s wild price gains it’s been seeing lately, which itself is likely to continue as time goes on.

Ethereum itself had its price see very little appreciation throughout 2020, but with the major Bitcoin rally going on, all that changed. This rally itself had been primarily attributed to the massive influx of institutional investors within the crypto space, particularly in Bitcoin.

ETH itself had seen a brief rise from $245 to $470, from July to September, respectively, but had only managed to push past the $500 mark on the 20th of November, 2020. ETH, in particular, managed to go up as far as $600, but a market-wide pullback brought it back down to under that range.

ETH 2.0 Looming As Well

Even with the market-wide pullback, Ethereum’s price, at the time of writing, stands at $590. What’s interesting to note, however, is the increase in the amount of ETH addresses holding at least one ETH had seen a consistent increase throughout the year, albeit with a slow start. Back in June of 2020, only 1 million addresses held that amount, but by December, that number had almost doubled.

Another major bullish factor ETH could have for itself is the launch of Ethereum 2.0. This could either be the reason why there’s been an increase in ETH holders, or it could possibly spur the process even further. As it stands now, reports show that ETH 2.0 boasts an impressive 900,129 ETH staked within it. It should be noted that this number could see a dramatic increase as time goes on, seeing as the system itself is designed to reward wallet holders staking their funds within it.

DeFi Space Is Built On ETH

Another keystone for Ethereum’s success is how much of the entire DeFi market is built within it. Sure, there are a few DeFi protocols outside of Ethereum, but the norm is Ethereum’s network, and the ecosystem has grown spectacularly in 2020, even going as far as to cause transaction issues within the network at large.

Remember, all trading carries risk. Past performance is no guarantee of future results.

A journalist, with experience in web journalism and marketing. Ali holds a master's degree in finance and enjoys writing about cryptocurrencies and fintech. Ali’s work has been published on a number of cryptocurrency publications.