ETH burn rate and on-chain metrics show bullish signs, indicating a $10,000 rally in coming weeks

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Ethereum’s on-chain metrics are increasingly bullish, suggesting the rally could start this week. This is further supported by data collected from popular exchanges that show Ethereum trading at $300 million daily, suggesting increased demand for the digital asset.

The “next cryptocurrency to explode 2021” predicts a $10,000 rally in coming weeks. The Ethereum burn rate and on-chain metrics show bullish signs, indicating that the market is going to be bullish this year.

While bitcoin continues to trade in the $60-61k range, ethereum is reaching fresh all-time highs. On Wednesday, the price of ETH climbed past $4,600, giving it a market valuation of little under $550 billion. Given the historical link between bitcoin and ethereum, this might be the start of a much larger price increase. The market outlook for ethereum is really positive, since people are starting to see NFTs and crypto games in a new light. 

Furthermore, the total value locked in DeFi reached a new all-time high of $274 billion, and addresses holding more than 32 ETH have been gradually growing for the last four months. Furthermore, the average transaction price is rising once again, prompting individuals to stake ETH and depend on other DeFi solutions. To have a deeper understanding, we must examine on-chain pricing and network growth indicators. 

Correlation with Bitcoin (BTC) 

ETH burn rate and on-chain metrics show bullish signs, indicating a $10,000 rally in coming weeks

The link between ETH and BTC is one of the most important determinants of future ETH pricing. This metric measures how much ethereum’s price differs from bitcoin’s. We should predict a similar trend in ethereum if the price of bitcoin begins to rise. However, we are now seeing a modest decline from the 30-day high. If the negative connection becomes stronger, the price of ETH may rise on its own. As a result, it’s critical to keep an eye on this metric and compare the price movements of bitcoin and ethereum. 

ETH total staked 

The net volume staked on the Ethereum network is significant for its price since it allows us to determine how much supply is locked and will not enter the market to trigger sell pressure. Currently, 8.15 million ETH is being staked across many DeFi protocols. We may anticipate this figure to rise, as the gas tax remains a source of anxiety and a barrier to admission for many people. 

ETH burn rate and on-chain metrics show bullish signs, indicating a $10,000 rally in coming weeks

Active Addresses on a Daily Basis 

Thousands of new addresses are added to the Ethereum network every day. The number of active addresses increased from 500k to 700k in only 30 days. This is a promising indicator for the future, since it indicates that consumers are actively using the system. This is a pattern we intend to sustain through the end of the year. 

ETH burn rate and on-chain metrics show bullish signs, indicating a $10,000 rally in coming weeks

Ethereum Miner Profits (Monthly)

The London hardfork has an impact on miner income since it created a base fee structure, thus it’s necessary to evaluate whether miners are being appropriately rewarded. The subsidy is at an all-time high, although overall miner income remains lower than in May. In addition, in October, the transaction fee is just $200 million, compared to $1.03 billion in May. 

ETH burn rate and on-chain metrics show bullish signs, indicating a $10,000 rally in coming weeks

Transaction Fee on the Average (7DMA) 

The average transaction charge was much lower during the May and June sell-off. However, as the ethereum network has grown in popularity, it has returned to its earlier levels. In less than two months, the average transaction cost jumped from $8 to $53. With the price reaching new highs, we may anticipate the charge to rise even more, which is not a positive indicator in the long run. Although the hard fork is expected to assist with the fee structure, it seems that only ETH 2.0 will be able to overcome this obstacle. 

ETH burn rate and on-chain metrics show bullish signs, indicating a $10,000 rally in coming weeks

Smart Contracts with the Highest Gas Consumption 

This graph depicts how quickly NFT marketplaces like Open Sea entice consumers to learn more about the new sector. It consumes approximately the same amount of gasoline as Uniswap. When NFTs become popular and the corrective phase is gone, we should anticipate OS to take over. 

ETH burn rate and on-chain metrics show bullish signs, indicating a $10,000 rally in coming weeks

Burn Rate of ETH 

The ethereum network burnt about $3.5 billion worth of ETH after the EIP 1559 update. Since its debut, the burn rate has climbed from 2 to 10 ETH. On average, the network consumes more than 10,000 ETH. While this does not make ethereum a deflationary asset, it will aid in its price movement. 

ETH burn rate and on-chain metrics show bullish signs, indicating a $10,000 rally in coming weeks

 Burn Tracker is the source of this information.

Everything seems to be quite optimistic on the blockchain. Furthermore, technical price activity indicates that ETH is consolidating above the prior ATH. That, too, has been an optimistic indicator. We may predict a parabolic rise towards $10,000 in the next weeks if bitcoin does not experience a dramatic drop and maintains a strong positive correlation. 

ETH burn rate and on-chain metrics show bullish signs, indicating a $10,000 rally in coming weeks

Karthikeya Gutta, a crypto writer and freelance contributor for ItsBlockchain, was born and raised in India. With in-depth analysis and research, he covers many facets of the sector. His enthusiasm for blockchain and the crypto ecosystem stems from his belief that it has the potential to transform the world and benefit millions of people.

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The “crypto news” is a bullish sign for the cryptocurrency market. The ETH burn rate and on-chain metrics show that there will be a $10,000 rally in coming weeks.

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