Ethereum's active addresses surge by 37% amid institutional demand

Ethereum (CRYPTO:ETH) has witnessed a significant increase in active addresses, surging by 37% to reach approximately 670,000, the highest level since March 2024.

This surge indicates heightened network activity and user engagement, suggesting a growing interest in Ethereum's ecosystem.

According to blockchain analytics firm IntoTheBlock, the number of active addresses jumped from over 400,000 in March 2024 to this new peak.

“The average number of active Ethereum addresses surpassed 620k last week, the highest since March 2024!” the firm reported.

Despite the potential for address duplication by single entities, the overall trend points to increased adoption of the Ethereum network.

In parallel, Ethereum's total value locked (TVL) in decentralised finance (DeFi) rose from $65 billion to $98 billion before settling at $84 billion recently.

This metric tracks the amount of locked funds across DeFi platforms and reflects the growing interest from larger investors.  

Prominent platforms like Aave (CRYPTO:AAVE) and Lido dominate this TVL, collectively holding over $60 billion.

Moreover, World Liberty Finance (CRYPTO:WLFI), associated with Donald Trump, has been a notable buyer of ETH but faced an unrealised loss of $14.9 million due to recent price declines.

Ethereum is trading near the $3,100 mark after experiencing an 8% drop since the beginning of the year.

While the price has shown bearish trends, it has managed to maintain support around $3,000.

Analysts suggest that if bearish sentiment continues post-FOMC meeting discussions, a downside breach could occur.

Conversely, a price reversal could potentially lift ETH towards resistance levels between $3,500 and $3,700.

At the time of reporting, the Ethereum (ETH) price was $3,191.31.