Ethereum is showing signs of strength on two critical fronts simultaneously. On-chain activity has reached record levels, reflecting greater real network utilization, while the long-term technical structure is inclined to continue growth.
Collectively, these signals suggest that Ethereum’s current phase may be more than just a sideways move as fundamental data points to sustained demand and constructive price behavior.
Ethereum’s daily transactions reach a novel high
Ethereum price action is turning bullish, with a steady raise in recent days. Notably, supply chain data shows that this raise is on top of sustained activity in the chain in recent days.
Data from Ethereum activity on the chain shows that the daily number of transactions has recently increased to around 2.8 million, setting a novel record in the history of the network. Interestingly, this number is not only record-breaking, but also because it is approximately 64% higher than the daily trading level seen during the peak of the 2021 bull market.
Chart data from Sentory illustrates the progress showing that the number of transactions on Ethereum has been increasing steadily over the years and skyrocketing in early 2026.
Comparison of transaction activity until 2021 adds more context given the intense activity the Ethereum network was seeing at the time. At the time, Ethereum was in the midst of the altcoin season and NFT boom, which contributed to an raise in trading activity and a push to novel price highs.
The fact that Ethereum is now processing significantly more transactions per day compared to 2021 shows that network usage has increased beyond speculative behavior. The steady raise in transaction activity shows, among other things, the enormous utilize of decentralized finance and stablecoin settlements.
Ethereum Daily Transactions Chart. Source: @SentoraHQ on X
Ethereum Reaccumulates as part of an Upward Macrotrend
Technical analysis of Ethereum market capitalization on the three-week candlestick timeframe shows that the cryptocurrency is still in the stability zone. In particular, technical analysis made by a cryptographic analyst Egrag Crypto suggests that Ethereum is in the middle reaccumulation as part of the upward macrotrend.
A look at the 3-week time frame shows that ETH market cap is holding above the 21 EMA, respecting the rising macro trendline, printing higher highs and higher lows, and contracting under historical resistance. This is constructive behavior, not weakness.
History shows that periods in which Ethereum’s market cap remained above the 21 EMA during this time frame led to expansion phases, while sustained moves below this value signified bear market conditions.
Currently, the design indicates EMA support is defended. From a probabilistic point of view, the current configuration leans towards continuation rather than collapse. A move through an overhead resistance band would likely confirm an expansion phase and allow Ethereum to continue its 70% to 75% bullish run.
ETH market capitalization. Source: @egragcrypto On X
On the other hand, a bearish outcome will become possible if the price action loses the 21 EMA on the three-week chart. This could confirm a deeper correction of 25-30% towards the lower trend line, but this scenario is less likely.
Featured image from Unsplash, chart from TradingView
