Goldman Sachs: Ethereum's fundamentals are strong, with the average daily new address count in January far exceeding that during the "DeFi Summer."

After a decline earlier on Monday, Bitcoin, Ethereum, and other cryptocurrencies like Solana have seen a mild rebound. Interestingly, Goldman Sachs pointed out that despite the weak price performance, on-chain activity paints a different picture, particularly for the Ethereum and Solana networks:

• The Ethereum network's daily active addresses, new addresses, and transaction counts increased by +27.5%, +26.8%, and +36% respectively month-over-month.

• The Solana network's daily active addresses and transaction counts increased by +24.3% and +8.2% respectively month-over-month. The number of new daily addresses on Ethereum reached an all-time high, averaging 427,000 new addresses per day in January—compared to an average of 162,000 new addresses per day during the "DeFi summer" of 2020. Currently, Ethereum has 1.2 million active addresses daily—this is another all-time high based on the 7-day moving average.

Goldman Sachs also specifically noted that Ethereum's current market capitalization is now below its realized market capitalization (the total value calculated based on the price at which each token last moved on-chain, representing the total cost basis), which means that most ETH holders are currently in a loss position. Timothy Misir, head of research at digital asset analysis firm BRN, stated, "For cryptocurrencies, the stability of ETF fund flows is a key signal to monitor. Without this support, a rebound is likely to be difficult to sustain."