Ethereum Activity Soars: New Users Drive Significant Growth

Ethereum's on-chain activity has surged, fueled by an influx of new users and increased transaction volume across the network. Data from Glassnode indicates that the retention of new activities has approximately doubled this month, growing from around 4 million to approximately 8 million addresses. This trend suggests that a fresh wave of wallets is engaging with Ethereum rather than just returning users.

Key Takeaways

Ethereum's on-chain activity is significantly increasing, driven by new users and transaction volume.
Daily transactions hit a record of 2.8 million, a 125% year-on-year increase.
Active Ethereum addresses have more than doubled in the last year, indicating genuine user engagement.
Rising stablecoin activity and lower fees are contributing to higher transaction volumes.
Despite positive metrics, cautious market behavior persists as traders await clearer signals regarding ETH prices.

Ethereum

Increase in First-Time Users

Daily transactions reached a record-high of 2.8 million on Thursday, marking a 125% increase compared to the same period last year. Reports from Etherscan reveal that the number of active addresses has more than doubled year-over-year, jumping from roughly 410,000 accounts to over 1 million as of January 15. These figures indicate a substantial and genuine increase in user engagement, rather than fleeting spikes.

Ethereum’s Month-over-Month Activity Retention indicates a significant increase in the number of new addresses interacting with the network over the past 30 days. This trend reflects a notable rise in first-time wallets engaging with Ethereum, demonstrating a healthy growth in user activity. — glassnode (@glassnode) January 15, 2026

Ethereum Activity

Transaction Surge and Layer 2 Impact

Analysts attribute the surge in transactions partly to increasing stablecoin activity and reduced fees. Many transfers are now being executed on Layer 2 networks while the settlement remains on Ethereum’s main chain. This approach maintains secure finality and helps to lower gas costs. Additionally, staking activity has escalated, reaching nearly 36 million ETH, contributing to the tightening supply dynamics of the network.

Conversely, market behavior appears cautious. The stability in US equities has steadied cryptocurrency prices, but the influx of funds into Ethereum seems to be selective rather than widespread. Traders are adopting a cautious stance, preferring to wait for clearer signals regarding ETH prices before making moves.

Ether is currently consolidating, showing price corrections with insufficient momentum-driven buying activity. A number of traders express optimism based on improvements in on-chain fundamentals. For example, LVRG Research has noted that the rise in transactions and staking activity suggests a more positive network outlook.

Some traders believe that the current price stabilization could lead to a breakout. Ether recently traded near a two-month high of $3,400 on Wednesday and was around $3,300 in early Friday trading, reflecting the balancing act between renewed demand and ongoing caution.

Despite the positive metrics, there are still technical hurdles to overcome. Recent analyses indicate that the market is in a repair phase rather than a confirmed uptrend. Overhead supply limits sustained advances, and many market participants are keen to see ETH break through key long-term resistance levels, like the 200-day EMA, before committing significant capital.

This explains why short-term traders are operating within a defined range while longer-term investors are holding back. Although network health has improved significantly—with more users, transactions, and staking—price action has yet to reflect these gains.

With the information available, cautious optimism is reasonable. Traders might find opportunities within the trading range, while investors looking for greater conviction should wait for clearer technical confirmations before anticipating a sustained rally.

Featured image from Blockzeit/EthBurn, chart from TradingView