Over the past week, the daily transaction volume on the network of the second-largest cryptocurrency by market capitalization increased from 1.1 million to 1.3 million, reaching levels last seen in November 2021 when the asset was trading near its all-time high above $4600.
During the same period, the on-chain value transferred also increased from $2.8 billion to $4 billion.
Amid improving fundamentals, the price of ETH rose by 1.9% over the past day, trading around $2570 (according to CoinGecko).
However, there are risks of a correction—the volume of supply “in profit” stands at 91.5%, matching levels from mid-2021. Significant unrealized profit in the short term could act as a bearish factor, putting pressure on the ETH price with a potential wave of selling.
Earlier, Vitalik Buterin proposed increasing Ethereum’s gas limit to enhance the network’s throughput.