Crypto News

Ethereum Gains 3.3 Million New Retail Investors: Could This Spark An Altcoin Bull Market?

The Ethereum market has witnessed a remarkable surge in individual investors over the past two months, adding 3.3 million new addresses—a 2.77% increase, bringing the total to an impressive 125.18 million.

This uptick in retail investors could well be the foundation for a retail-driven bull rally.

Such an increase in demand often signals the potential for rising prices, especially for Ethereum, a prominent asset in the altcoin market. With new investors coming on board, the limited supply could lead to substantial price appreciation.

The Importance of Ethereum in an Altcoin Rally

Ethereum’s recent performance has lagged behind Bitcoin, with the latter gaining 33% over the last six months compared to Ethereum’s 10% rise. However, Ethereum has started to close the gap; in the past week alone, Bitcoin has risen 19%, while Ethereum investors have seen returns of 29%.

Ethereum’s Move, Altcoins Rally

This upward momentum in Ethereum is reflected across the broader altcoin market. As Ethereum strengthens, the increased market activity and volatility could serve as a catalyst for an altcoin bull run. At this stage, keeping a close eye on on-chain data can provide valuable insights into emerging trends.

In another development, the Ethereum Foundation recently sold 100 ETH for $334,315.7 DAI, marking its first sale since releasing its 2024 financial report on November 8. The Foundation, with crypto reserves of $788.7 million (99.45% in ETH), has been consistently selling ETH throughout 2024 to support key projects, totaling 4,266 ETH sold at an average price of $2,773.

Meanwhile, US Ethereum ETFs experienced a record-breaking day, with $295.1 million in net inflows. Fidelity’s Ethereum ETF (FETH) led the charge, contributing $115.5 million—its largest inflow to date.

Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.

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