ETH New-Wallet Surge and Rising Holder Sentiment Hint at Potential Move Toward $3,700
Ethereum (ETH) saw a marked surge in new wallet creation in December, with Santiment reporting daily spikes near 196–197K and a daily average around 163K. Active sending addresses and daily network growth rose to multi‑month highs, producing roughly a 25% increase in network activity versus November and about a 12% rise in active addresses. Holder sentiment shifted from negative in November to neutral–positive by mid‑December, suggesting reduced selling pressure among long‑term holders. Despite these on‑chain improvements, ETH traded range‑bound near $2,800–$3,300 for several weeks, with trading volume still below October averages. Analysts (including Merlijn The Trader and others citing historical parallels from 2015–2018 and 2024 patterns) view the sustained wallet inflows and reaccumulation as signs of renewed demand and potential upside — one projection targets a move toward $3,700 and an outperformance of BTC on the ETH/BTC pair. Key trading signals to monitor: continued new wallet inflows and active‑address growth for demand confirmation; a decisive rise in volume (20%+ above recent averages) to validate a breakout; and price structure around $2,860–$2,900 for accumulation risk management. Watch resistance near $3,700 and leverage/retail participation metrics that could amplify any move.
Bullish
The combined reports point to improving demand-side fundamentals for ETH: sharp increases in new wallet creation, rising active addresses, and a shift in holder sentiment all reduce the probability of sustained distribution and increase the chance of accumulation-driven upside. Historical precedents cited by analysts (similar sustained wallet growth preceding rallies) strengthen the bullish case. However, the price remains range‑bound and volume has not yet confirmed a breakout; trading volumes are below earlier highs, so momentum is not yet fully validated. Short term: expect higher volatility around key levels ($2,860–$2,900 support and $3,700 resistance), with accumulation on dips a reasonable strategy for bullish traders if on‑chain inflows persist. Long term: if new wallet growth continues and volume picks up (20%+ above recent averages), the probability of a sustained breakout and larger rally increases. Risks include failure to lift trading volume, renewed selling by short‑term holders, or macro events that suppress risk appetite.