▲ Ethereum (ETH) vs Bitcoin (BTC) © CoinReaders

Ethereum has reportedly established an overwhelming advantage over Bitcoin in terms of network adoption, leading by more than three times in the key metric of user base.

According to crypto media outlet Bitcoinist on March 14 (local time), on-chain analytics platform Santiment data shows that the number of Ethereum (ETH) wallets holding a balance stands at approximately 182.7 million. This is about 3.1 times higher than the roughly 58.5 million Bitcoin (BTC) wallets. The gap has steadily widened over the years and is regarded as an indicator that Ethereum’s network adoption is growing much faster than other major virtual assets.

Ethereum first surpassed Bitcoin in the number of wallets holding balances in February 2019. Since then, the growth trajectories of the two networks have diverged significantly. Ethereum’s wallet growth curve has risen steeply, while Bitcoin has shown comparatively moderate growth. Santiment analyzed that this disparity could have a long-term impact on Ethereum’s market valuation.

The gap is also overwhelming compared to other major virtual assets. Tether (USDT) has about 12.96 million wallets, roughly one-fourteenth of Ethereum’s total. XRP Ledger wallets number about 7.68 million, Dogecoin (DOGE) about 8.22 million, and Cardano (ADA) about 4.61 million. All of these assets fall significantly short of Ethereum’s user base size.

Despite the expansion in adoption, some point out that Ethereum’s price has yet to fully reflect the pace of its network growth. Currently, Ethereum is trading in the $2,000–$2,100 range. At the time of writing, the price stood at approximately $2,103, up about 2.9% over the past 24 hours.

Market analyst Merlijn The Trader suggested further upside based on the Ethereum Rainbow Chart. According to the chart, the current range marks the first entry into the “undervalued zone” since 2020. At that time, Ethereum surged from around $700 to $4,800. He analyzed that if the price breaks above $2,500, a new upward phase could open, while a drop below $1,900 could push it into the “extremely undervalued zone” under the Rainbow model.

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