PelinayPA2025-11-17

Ethereum is waiting for new investors for its rise

The New Depositors metric is crucial for reading retail interest, new investor inflows, and trend shifts. Recently, even as ETH tested the $4K–$5K range, new depositor activity has not increased. This lack of new user inflow makes the rally less sustainable, increasing the risk of consolidation or deeper pullbacks. The market may still be in an early rally phase, with major retail participation yet to arrive. Weak external demand means the price is being lifted mostly by internal liquidity, making the move fragile; even small selling pressure can trigger sharp drops. Historically, ETH has seen similar periods. Summer 2020, ETH climbed from $250 to $400 with low, stable new depositor activity. A brief correction followed, and once new users entered, the main bull wave began. Early 2024, Before the ETH ETF approval, ETH rose from $2.5K to $4K while new depositor levels remained flat. The rally stalled above $4K, saw a pullback, then surged again after the ETF catalyst. The current structure mirrors these patterns, ETH reached $4K–$5K, but new depositors have not trended upward, and participation hasn’t broadened. Recent spikes are event, driven rather than indicative of real demand growth. Given these similarities, today’s decline may serve as a corrective phase that eventually draws in new users. If the pattern repeats, ETH could recover and move toward the $6K–$7K range in the short to mid term.