Ethereum (ETH) transaction volumes spiked over the last three months, following a broader upward trend in crypto traders’ sentiment. Digital asset prices recovered in the same period, with ETH expected to rally in a new altcoin season after breaking the $2,400 resistance.
Institutional Investment Is Back In Ethereum
In the last quarter, the network processed $203.9 million in transactions, coupled with other metrics soaring in the same window. Total activities are up 68.4% from last year while throughput hit 25.9 transactions per second.
The general spike is a resurgence in institutional traders as the market uptrend continues. ETH price bounced above the $2k mark after heightened liquidations forced other investors to other altcoins for short-term stability.
According to a Token Terminal report, the number of addresses holding ETH reached an all-time high above 312.1 million, underscoring growing confidence among the community. As addresses grew, network staking followed the same trajectory, jumping 32% in twelve months.
The transaction spike fueled a 31% increase in neutron fees and boosted burn revenue to $17.1 million. However, monthly active users plunged by 30% amid a rise in almost every metric each month. A close look at charts shows the decline is largely attributed to retail users dumping assets after a series of shaky months.
 
As expected, whales were the first to react to the market recovery, taking over retail positions in the last three months. Large inflows have also been recorded among corporate treasury holders looking to meet targets set last year.
This week, BitMine purchased 27,180 ETH, worth about $68 million, and is approaching its 5% total supply mark. Aside from this purchase, traders moved funds out of exchanges to other custodians, a move signaling long-term holdings.
In addition to whale volumes, analysts expect the United States interest rate decision to have an impact on crypto prices. CryptoQuant researchers weighed the impact on Ethereum’s leverage ratio.
“The funding rate is very close to zero. This is important because the long side is not overly crowded in the futures market; therefore, the risk of sudden downward pressure caused by long liquidations while the price rises is quite low. With positive funding, longs pay shorts; funding remaining close to zero indicates that the rise has not been excessively inflated by leverage.”
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