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The post Ethereum Price Faces Historical Stress Test as Transfer Counts Spike appeared first on Coinpedia Fintech News Ethereum price is trading under pressure as on-chain data flashes a historically sensitive signal. In late january, Ethereum crypto’s total transfer count, smoothed by a 14-day SMA, surged to 1.17 million, a level previously associated with major market turning points. This sudden spike raises fresh questions about near-term risk. Ethereum Network Activity Reaches a Critical Threshold The latest Ethereum price chart is unfolding amid sharply rising network activity. According to on-chain data, the transfer count has accelerated sharply, reaching levels rarely sustained in past market cycles. While increasing activity can indicate adoption, the speed and magnitude of this move place it in a more cautionary category. Historically, such abrupt spikes tend to appear near periods of elevated stress. Meanwhile, price action on higher timeframes has already softened, suggesting that activity may not be driven purely by organic growth. Instead, it may reflect increased repositioning as market participants adjust exposure. Historical Parallels Resurface From 2018 and 2021 A closer look at Ethereum crypto’s historical data reinforces the concern. In January 2018, transfer counts surged in a similar fashion just days before Ethereum marked its cycle peak. At the same time, price momentum stalled and gave way to an extended bear market. A comparable pattern emerged on May 19, 2021. Transfer activity spiked sharply as price volatility intensified, coinciding with a broad market crash. In both cases, elevated network usage reflected distribution and forced flows rather than healthy accumulation. While history does not repeat exactly, the structural similarity keeps risk elevated. On-Chain Signals Point to Distribution and Volatility From an analytical standpoint, parabolic increases in transfer counts often align with moments of emotional extremes. That said, these phases typically involve heavy asset movement between…

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Filed under: News - @ February 4, 2026 7:23 pm