As Ethereum (ETH) prepares for the extremely anticipated Merge upgrade, the Ethereum network continues to record significant activity, contemplating that the blockchain update is considered as a bullish sentiment for the asset. In this line, the number of newly created Ethereum unique addresses is surging forward of the September 15 event.
As of September 2, the Ethereum network had 204,571,827 unique addresses, representing a growth of 2,210,529 addresses from the 202,361,298 recorded on August 2. Subsequently, over the 30 days, Ethereum added about 71,307 addresses every day, in response to Etherscan data.
It’s value noting that the added addresses don’t necessarily indicate they’re active or the unique number of individuals joining the network. Individual traders can generally have more than two addresses in several Ethereum wallets.
Investors anticipating Ethereum rally
Though the crypto market is currently experiencing massive sell-offs, the Ethereum deal with growth can partly be attributed to the Merge upgrade that can transition the network to a Proof-of-Stake (PoS) blockchain.
In this case, Ethereum has recently shown glimpses of rallying in anticipation of the upgrade, partly driving a broader market short-term rally in August following the update’s announcement.
Equally, hints of a possible Ethereum future rally have emerged, with blockchain analysis platform Santiment noting that traders are shorting ETH at the highest rate since June 2021.
“The Ethereum disbelief is powerful from traders throughout a very unstable week of trading. The group has shorted, throughout exchanges, on the largest ratio since June of 2021. Traditionally, price rises are more prevalent in these situations,” Santiment mentioned in a tweet posted on August 30.
It is going to be fascinating to observe how the upgrade will affect the present bear market, contemplating that almost all Ethereum traders are reeling in losses. As per a Finbold report on August 30, the number of ETH addresses in loss hit a new month-to-month high based on a seven-day shifting average at 38,001,366.
Skepticism ahead of the Merge
Moreover, some analysts have expressed skepticism relating to the possibility of Ethereum recording sustained features. Though the upgrade will also make Ethereum a deflationary asset, Antoni Trenchev, the co-founder of crypto lending platform Nexo, notes that there is no such thing as an assurance that Merge will encourage a rally. He noted that the rally would depend upon the update’s initial success.
Elsewhere, Ethereum is still attempting to carry above $1,500 amid the significant market sell-off. By press time, the asset was trading at $1,550, recording losses of over 2% within the last 24 hours.
