Ethereum’s Growing Supply: A Potential Ceiling for Price Growth?

Ethereum’s supply has reached a six-month peak, potentially putting a damper on price gains in the short term. This surge in supply, coupled with a decline in network activity, could limit ETH’s upward trajectory, potentially keeping it below the $3,000 mark for now.

While Ethereum remains a dominant player in the decentralized finance (DeFi) space, the recent increase in supply could impact price sentiment. The market may be interpreting this as a sign of diminishing demand, which could affect investors’ confidence in the asset’s short-term price outlook. This situation calls for careful observation and analysis as the interplay of supply dynamics, network activity, and overall market sentiment will likely dictate Ethereum’s price trajectory in the coming weeks.