Ether, the native cryptocurrency of the Ethereum network, has been lagging behind other cryptocurrencies this year, with only an 8% gain compared to Bitcoin’s 40%. However, a new report by Steno Research suggests that Ether may be on the verge of a resurgence.
During the last bull market, Ether saw significant growth, driven by increased onchain activity from decentralized finance (DeFi) projects, stablecoin issuance, and non-fungible tokens (NFTs). Steno Research believes that history may repeat itself, with Ethereum set to benefit from recent developments in the crypto space.
One key factor contributing to Ethereum’s potential comeback is the recent Federal Reserve interest-rate cut. This move is expected to boost onchain activity, which is crucial for the Ethereum network’s performance. Analyst Mads Eberhardt noted that Ethereum’s active addresses are still strong, especially with the growing adoption of rollups, a layer 2 scaling solution.
Additionally, Steno Research pointed out that Ethereum’s transactional revenue appears to have bottomed out in August, indicating a potential uptrend in the near future. With these factors in play, Ether could be gearing up for a significant rally in the coming months.
