Ethereum (ETH) has reached a major milestone in network activity even as its price continues to slide. Crypto analyst Ali Martinez (@ali_charts) reported on X that Ethereum’s daily active addresses surged to 841,100 in July, marking the highest level recorded this year. This spike occurred just before ETH dropped nearly 10% from $3,875 to around $3,540, where it currently trades.
The surge in on-chain activity comes amid broader market volatility, with Bitcoin also experiencing declines following Federal Reserve Chair Jerome Powell’s announcement to keep interest rates unchanged. Despite the price downturn, Ethereum’s network growth signals increasing user engagement and potential long-term bullish sentiment.
Further fueling optimism, spot Ethereum ETFs are seeing significant inflows. Data from Lookonchain revealed that on August 1, 10 spot ETH ETFs collectively purchased 8,183 ETH valued at roughly $29.8 million. BlackRock’s ETHA fund led the buying spree, acquiring 4,841 ETH worth $17.65 million, boosting its total holdings to over 3 million ETH valued at $11.04 billion. This week alone, ETHA recorded inflows of 224,833 ETH. Grayscale’s Ethereum Trust added 1,989 ETH, while Fidelity’s Ethereum Fund accumulated 1,498 ETH.
This combination of record on-chain activity and robust ETF accumulation highlights continued institutional and retail interest in Ethereum, even as short-term price action remains under pressure. Investors are closely watching whether these fundamentals can support a potential rebound in ETH’s price amid shifting macroeconomic conditions and growing demand for spot crypto products.
