Ethereum Approaching Bullish Breakout with Rising Network Activity and Strategic Reserves

I believe Ethereum’s rising on-chain activity, with daily transactions reaching their highest in over a year, signals a robust shift towards genuine utility rather than mere speculation. The increase in active and new addresses implies continuous user engagement and adoption, which is vital for sustained growth. This growth is supported by mechanisms like EIP-1559, which reduces ETH supply over time, along with stable net emissions that define a tightening market supply. Such fundamental factors suggest that ETH’s recent momentum is rooted in strong adoption, not just market hype. The spike to approximately 1.7 million daily transactions indicates accelerating network usage, pointing to a possible new phase where market sentiment aligns with underlying fundamentals. Notably, the surge in the ETH strategic reserve from around $200 million to $10 billion within four months demonstrates significant long-term confidence and capital accumulation into the network. This indicates strategic positioning ahead of potential catalysts that could propel ETH into a new bull market. Overall, the combination of increasing network activity, limited supply growth, and substantial reserve buildup suggests that Ethereum is currently entering a phase of strong foundational support. This environment might favor strategic accumulation, as the network’s fundamentals and investor confidence point toward a durable bullish trend. Investors should consider these indicators for long-term positioning, as ETH appears to be gaining momentum driven by real usage and deep confidence in its future potential.