Ethereum Network Growth Surges, Hinting at Potential Price Upside

• Ethereum’s daily new wallet creation hit multi-month highs in December, exceeding late-summer levels.

• New participants indicate expanding user base and potential medium-term ETH demand.

• Network activity rose 25% from November averages, per Santiment data, outpacing price movement.

Ethereum network growth surges amid price stagnation: Discover how rising new wallets signal bullish potential for ETH in 2025. Stay ahead—explore key indicators now. (142 characters)

What is driving Ethereum network growth in December 2025?

Ethereum network growth is accelerating due to a sharp increase in new wallet creations, reaching peaks of over 197,000 on December 2 and 195,000 on December 15, according to Santiment metrics. This surge reflects heightened user adoption and interest from fresh market entrants, contrasting with ETH’s sideways price action. Such on-chain expansion often foreshadows upward price pressure as demand builds.

How is Ethereum holder sentiment shifting amid this growth?

Ethereum holder sentiment has transitioned from negative in November to neutral-positive by mid-December, as shown by TradingView’s Holders Sentiment indicator. Long-term holders are easing their defensive positions, with fear levels declining and selling pressure diminishing. This stabilization, combined with network inflows, points to recovering confidence. Data from Santiment supports this, noting a 15% improvement in sentiment scores over two weeks. Experts like those at Santiment emphasize that persistent positive shifts in holder behavior correlate with 70% of historical bull runs on Ethereum.

Ethereum is showing one of its strongest network expansions of the year, with new wallet creation surging sharply in December. Yet despite the rapid influx of fresh participants, ETH’s price remains stuck in a sideways range; revealing a disconnect between on-chain fundamentals and market sentiment. Data from Santiment and TradingView indicate that Ethereum may be entering a critical phase where underlying network strength begins to pressure price action upward, even as long-term holders remain cautious.

Ethereum network growth surges to multi-month highs

Santiment’s data shows Ethereum’s daily network growth, measured by newly created wallets, spiking dramatically throughout December.

Source: X/Santiment

Two major surges stand out:

• December 2: 197,380 new ETH wallets created
• December 15: 195,460 new ETH wallets created

These are among the highest daily readings recorded in recent months, exceeding the growth levels seen during Ethereum’s late-summer rally. This pace of new wallet creation typically signals expanding user adoption, growing interest from new market participants, and increased potential demand for ETH over the medium term. Such rapid onboarding often precedes price acceleration, especially when it persists over several weeks. Analysts at Santiment report that similar patterns in 2024 led to a 20% ETH price increase within 30 days.

Ethereum price still stagnant despite strong fundamentals

In contrast to the surging network growth, the ETH price chart tells a very different story.

Source: TradingView

Ethereum has been range-bound between $2,800 and $3,300 for nearly six weeks, unable to break decisively above resistance or retest deeper lows. The market is showing low volatility, weak short-term trend direction, and a slow, grinding structure of lower highs and higher lows. This consolidation hints at indecision, not weakness; especially when paired with rising network activity. TradingView charts illustrate this pattern, with trading volume 18% below October averages, underscoring the temporary disconnect.

Holder sentiment begins to recover

The TradingView Holders Sentiment indicator adds an important layer to the picture. Throughout November, sentiment was deeply negative. Long-term holders were defensive, maintaining a risk-off stance as ETH drifted lower. But in mid-December, sentiment flipped into neutral-positive territory, signaling a subtle but important shift: fear is fading, long-term conviction is stabilizing, and selling pressure among existing holders is easing. Sentiment strengthening while wallet creation spikes is often an early signal of renewed bullish momentum. According to insights from TradingView analysts, this combination has historically preceded ETH rallies by an average of 25% in the following quarter.

A higher low may be forming

Ethereum has now defended the $2,860–$2,900 zone multiple times. Combined with improving sentiment and a stable consolidation range, this suggests that ETH may be forming a higher-low structure, often the precursor to a trend reversal. If new wallet creation continues at its current pace, demand may begin to outweigh supply — creating the conditions needed for ETH to break out of its multi-week range. Santiment data reinforces this, showing a 12% rise in active addresses alongside the wallet surge, indicating genuine network utilization rather than speculative noise.

Frequently Asked Questions

What factors are contributing to the recent Ethereum network growth surge?

The surge in Ethereum network growth stems from increased new wallet creations, totaling over 392,000 in key December days, driven by broader crypto adoption and Ethereum’s scalability improvements post-upgrades. Santiment reports this as the highest since Q3 2025, highlighting genuine interest from retail and institutional users seeking to engage in DeFi and NFTs.

Will Ethereum’s price break out soon given the holder sentiment recovery?

Ethereum’s price may break out if holder sentiment continues improving and network demand sustains, as seen in past cycles where similar shifts led to gains. TradingView indicators show stabilizing trends around $3,000, but external market factors like regulatory news could influence timing—watch for sustained volume increases above 20% for confirmation.

Key Takeaways

• Ethereum network growth acceleration: December’s wallet surges indicate building adoption pressure that could drive ETH demand higher in coming months.
• Price stagnation disconnect: Despite strong fundamentals, ETH remains range-bound, but technical supports suggest a potential reversal.
• Monitor sentiment shifts: Improving holder confidence aligns with historical bullish patterns—consider accumulating on dips for long-term positions.

Conclusion

In summary, Ethereum network growth and recovering holder sentiment underscore a robust foundation for ETH despite current price stagnation, positioning the asset for potential upside in 2025. As on-chain metrics like new wallets continue to climb, investors should track these indicators closely for breakout signals. Stay informed on Ethereum developments to capitalize on emerging opportunities in the evolving crypto landscape.