Ethereum Price Momentum Rises as Network Activity Soars
CryptoNewsTerminal Staff09 Aug, 2024
Ethereum Price Momentum Rises as Network Activity Soars
Ethereum (ETH) is gaining more price momentum as its network demand increases, exemplified by a surge in decentralized application (dApp) activity over the past seven days. The spike in ETH network activity was primarily driven by decentralized exchanges (DEXs) such as Uniswap (UNI) and 1INCH, followed by DeFi lending protocols like Curve (CRV) and Morpho. According to data from DeFiLlama, the total value locked (TVL) on the ETH network climbed to 19.7 million ETH, the highest level since November 2022. While some argue that ETH's average transaction fee (around $3.85) is a limiting factor for scaling, this figure neglects layer-2 solutions, which currently process more than 24 times the transactions of the ETH chain.
