Ethereum: Highest network growth will lead to big ETH pump – Santiment report shows closer details

  • Santiment predicts an Ethereum price pump after the recent 2022 wallet address growth.
  • Users suggest that the launch of the XEN project is the sole reason for Ethereum’s network growth.

According to Santiment, Ethereum recorded a new 2022 high in its recent network growth. A recent record shows 135,780 new wallets on the network. With the remarkable additions, Ethereum boasts improved growth compared to its previous 2022 high of Jan 3rd by 11.1 percent. 

tweet by the crypto analytic firm predicts that the network growth can spike the price of Ethereum.

Ethereum saw a surge of new addresses created Saturday, with 135,780 new $ETH addresses popping up on the network. This is 11.1% more network growth than the next highest of 2022 (Jan 3rd). Utility rises commonly foreshadow potential asset breakouts.

XEN launch led to Ethereum network growth in 2022

Many users speculate on a possible cause for the surge even though Santiment did not state any concrete reason. Some Twitter users suggested that the recent 2022 network growth for Ethereum is due to the XEN launch. Since its rollout, the XEN network has gained massive attention from the crypto community and increased adoption.

Amid the buzz, there are now over 100k wallets that have minted the token. Further reports from Etherscan indicate that XEN accounts for more than 40 percent of Ethereum gas consumption. Based on the first principles of crypto, users can claim, mint, and stake the XEN token. The project provides a self-custody, transparent, consensus-trusted, and permissionless value exchange.

Ethereum couldn’t achieve its post-merge promise of becoming deflationary because of the deceased transactional activities on the network. As expected, the bearish market condition is a major concern to crypto enthusiasts who have refrained from minting NFTs on Ethereum. Before the XEN launch, Ethereum had inflation of 0.21percent, which decreased to 0.13 percent after the event. The Fair Crypto Foundation launched the XEN token on Oct 8. 

The XEN project has no initial supply or supply cap. Also, there is no pre-mint, CEX listing, admin keys, or immutable contacts. The project uses a proof of participation mechanism consensus, which allows users to mint tokens by paying gas fees only. The XEN dashboard shows that there are 424.642 active miners on the network. It proves that the XEN launch played a pivotal role in the latest Ethereum growth recorded in 2022. Users can also enjoy a 20 percent APY for staking the token. Currently, the total supply of the XEN network is 945,446,771.   

Ethereum has experienced a price plummeting selling pressure in recent weeks. However, the coin has gained a 2.3 percent increase in price in the past 7 days, and it currently trades at $1,307.14. Even though the on-chain activity on Ethereum is low, the total gas fees on the network increased by 10 percent. There is also an increased inflow of ETH into exchanges. Users transferred over $216 million worth of the asset to exchanges. Hopefully, the price of Ethereum will be bullish in the coming weeks.