Analyzing the future growth potential of Ethereum

Author: CryptoMonkey Source: X, @monkeyjiang

ETH is still the leader of bull market copycats and is ready to go!

This article will analyze the future growth potential of Ethereum from multiple dimensions!

Everyone must pay attention to it, it will determine your profits in the bull market!

In the past few months, Ethereum has been spurned by many people.

The so-called flowing public Chain, the iron-clad Ethereum,

Brother Hou has always been firmly optimistic about the future potential of Ethereum!

1. One of the core narrative cores of the bull market industry

1. The largest and most prosperous ecological foundation , with the most users, there are many ecological projects that have been at the top of the vertical direction for a long time, and the consensus is strong!

2. Although the progress of Ethereum’s network innovation is average, it is also solving its core performance problems through module distribution and crowdsourcing models, such as the upcoming The Cancun upgrades to L2, L3, DA, etc. are all about solving technical and application problems around the Ethereum network. In essence, they are all contributing to the Ethereum network and working together to make the network effect stronger and bigger. It is the core of promoting the development of the encryption industry.

2. The technical form of ETH/BTC is perfect

1. As can be seen from the picture below , the monthly line for the Bitcoin trading team has been closing the needle line for several consecutive months, and fell to the support level in December 2022 in June 2022, forming a bottom, and was confirmed again in January 2024.

2. Another most classic bullish pattern is the cup-and-handle pattern, which is clearly visible in the picture and is taking shape.

3. Exciting data performance

1. Whales continue to accumulate

Starting in January, whales have been withdrawing coins from exchanges to wallets, or participating in pledges. For example, on January 11, a whale withdrew 9,705 ETH from Binance ( 22.9 million US dollars), and then deposited the funds into Compound. Since February 1, another whale has accumulated a total of 69.5K ETH from Binance, Bybit, Bitfinex and OKX, which is about 179 million US dollars. Similar whales have accumulated in these months There are many more. The data of long-term holders of Ethereum and total holders are constantly growing. You can refer to santiment.

2. Regain the dominance of NFT

In recent times, Ether’s NFT transaction data It has been increasing. In the past seven days, transactions reached more than 130 million U.S. dollars, ranking first. The popularity of 404 will further promote the activity of the overall Ethereum NFT ecosystem, which will be beneficial in the long term.

3. TVL record high!

On February 19, the current total lock-up volume (TVL) of Ethereum Layer 2 is 26.21 billion US dollars, continuing to hit a record high. You must know that 23 In December of this year, it was only 16 billion US dollars! It has increased by dozens of points. You can check the relevant data on L2BEAT.

Ethereum’s liquidity staking data is also growing rapidly again, reaching 13.62 million ETH $391.77b (39.18 billion U.S. dollars)

Ether The TVL of the Ethereum re-pledge agreement EigenLayer has also exceeded US$7 billion. Since February 5, its TVL has more than tripled from US$2.15 billion, with a monthly increase of 310%. All this shows that the financial ecology surrounding Ethereum is becoming more and more important. Sound, powerful, and generated innovation, the transmission effect is slowly permeating and reflected in other ecology of the network.

4. ETH’s ETF approval, stars in the sea!

The picture below is the institution currently applying for Ethereum ETF!

We can see that there are currently 4 final approval dates in May this year, including Mujie’s company, and the others in June, July and August, the latest asset management company Franklin Deng Puton also submitted an S-1 application to the SEC on February 12, adding another general to the buy-buy-buy camp. Before May, the hype over ETH was expected to get stronger every month! At the same time, he will also lead the village to launch a wave of magnificent market trends! expect!

5. Comparison of gains and ETH deflation

The lowest level in the last bull market From 81.7u to the highest point of 4372u, an increase of 54 times, the lowest point of Bitcoin in the last round was 2800, and the highest was 69000u, an increase of 24.6 times

According to the bull market increase round by round The law of decreasing space,

The bottom of this round of Bitcoin is 15,400. It is expected to be lower. Based on the high point of 120,000 US dollars, Bitcoin has increased by 7.7 times,

The bottom of Ethereum is 880, calculated based on the comparison with Bitcoin in the previous round, plus the current negative inflation rate of Ethereum (currently Ethereum has burned in the past 7 days More than 20,000, more than 80,000 in 30 days, the burning rate has begun to accelerate again!

The burning data can be viewed at ultrasound. money.

Brother Monkey knows that most people I think there is no problem with copycats. Although eth goes up, copycats will also rise, but the position of Ethereum should be increased a little, after all, it is more certain! Finally, I hope everyone will not miss the next big bull market of Ethereum and high-quality copycats. Maybe this is the last time, a large-scale wealth dividend period, across classes, just this year!