There are nearly nine times more daily active users in the Ethereum ecosystem than there were just four years ago – and analysts say the increased demand could push Ethereum to new heights.
According to data collected from exchange-traded cryptocurrency issuer Bitwise, there were on average more than 250,000 daily active users of Ethereum and its scaling solutions Arbitrum and Polygon in the first quarter of 2020, the the lion’s share coming from the Ethereum Layer network. 1 House.
In the first quarter of 2024, this number of daily users – which now also includes Layer 2 networks launched from Optimism, Base and zkSync – reached around 2.25 million, almost nine times larger.
Due to the transfer of transactions to Tier 2, Ethereum now represents a much smaller share of daily active users.
As of June 4, the Ethereum mainnet had 378,000 active users, Polygon had 1.3 million while the other four L2 networks had around 1.5 million active users in total.
Optimism launched in late 2021, while zkSync Mainnet and Base were made available for general access in 2023.
Ethereum’s user count doesn’t seem very large, but it’s part of the roadmap as Ethereum co-founder Vitalik Buterin has focused on using L2s as a way to make evolve the main blockchain.
He recently argued that L2s are similar to the sharding concept of the old Eth 2 system and that the layer can also help foster the growth of different “subcultures” within the Ethereum ecosystem.
VanEck advises on the growth of the Ethereum network
Meanwhile, cryptocurrency ETF issuer VanEck raised its price target for Ethereum – forecasting the cryptocurrency to reach $22,000 by 2030.
In a June 5 blog post by Matthew Siegel, head of digital assets research at VanEck, and two colleagues, the analysts raised their 2030 forecast for Ethereum — up from just $11,800 last year — noting that its revenue per user exceeds that of most Web2 companies and is defined. to grow. . It is very popular with traditional financial market participants as well as large technology companies.
“We expect Ethereum ETFs to be close to being approved for trading on US exchanges. Analysts believe that this development will allow financial advisors and institutional investors to hold this unique asset (…) and benefit from the distinctive pricing and liquidity advantages of ETFs.
“We forecast ETH valuation for 2030 based on expectations of $66 billion in free cash flow generated by Ethereum and accumulated on the ETH token,” the analysts added.
about: The shutdown of the Linea blockchain highlights the slow decentralization of Ethereum L2
Ryan Shawn Adams, co-founder of Bankless, noted that despite the decline in user numbers, the Ethereum blockchain still generates three times more fees than the Upper Layer 2 and Solana networks combined, calling it a “modern miracle” .
L2s pay Ethereum fees to settle transactions on the main chain and benefit from its security.
According to CoinGecko, Ethereum is currently priced at $3,862, up 1.3% in the last 24 hours.
Many expect the launch of spot ether ETFs to eventually push the price of ether to a new all-time high, although some warn that inflows into new cryptocurrency ETFs will be much lower than bitcoin ETFs .
review: Polygon never planned to beat Ethereum: Anurag Arjun, X Hall of Flame
