Bitcoin may have been the cryptocurrency to start off the bull-run, but it is no longer the only one that’s reaping the benefits. The bull-run has also worked in favor of other cryptocurrencies, including Ethereum, but it has done more than just pushing its price upwards. As of now, there has been a major surge in the number of ETH wallets that comprise more than 1 ETH. This data was disclosed by a crypto data provider called Glass node. Published on December 5th, 2020, Glassnode’s data shows that a total of 1,175,681 wallet addresses currently have more than 1 ETH.
This increase in the wallet numbers holding Ethereum is an indication that the second-largest cryptocurrency in the world has also seen an increasing level of interest from the investors, which has subsequently led to more of its accumulation. This move could ultimately work in favor of Ethereum when it comes from the wild price gains that the cryptocurrency has been experiencing recently. This is likely to continue with time. As far as Ethereum itself is concerned, its price has seen little appreciation throughout the year, but all that has changed with the Bitcoin price rally.
This particular rally in the first cryptocurrency was itself attributed to the massive influx of institutional investors in the crypto space, who had shown particular interest in Bitcoin. Between July and September, ETH had seen its price go from $245 to $470. However, it had managed to move past the $500 mark on November 20th, 2020. From then, the cryptocurrency had succeeded in going beyond the $600 mark as well, but eventually, a market-wide pullback had brought it down once again. Even with the level of pullback that was seen in the market, Ethereum’s price is still between the $500 and $600 range.
However, it should be noted that there has been a consistent increase in the number of wallet addresses holding a minimum of 1 ETH, even if it had a slow start. According to the numbers of June 2020, there were a total of 1 million wallets that held this amount of ETH, but this number had nearly doubled by the time December came around. Moreover, another bullish factor that has helped ETH is the launch of the Ethereum 2.0. This could be one of the reasons why the number of ETH holders has gone up, or it could end up spurring the process even further.
Furthermore, the latest reports indicate that there is already 900,129 ETH already staked in ETH 2.0. As time goes on, this number is expected to go up, considering the fact that the system is designed to reward wallet holders who stake their funds within it. Another keystone that could determine Ethereum’s success is how much of the decentralized finance (DeFi) market is built through it. Even though some DeFi protocols do exist outside of the Ethereum network, most can be found within it and this ecosystem has experienced spectacular growth in 2020, even causing transaction issues.