How Another Ethereum DeFi Summer Can Power the Next Big ETH Price Rally

cryptonews.com:

Smart-contract activity on the Ethereum blockchain remains relatively healthy, despite 2022’s ferocious bear market that has seen Ether (ETH), last in the low $1,600s, pull over 65% lower versus its November 2021 record highs in the $4,800s. According to a graphic presented by crypto data analytics firm Glassnode, so-called internal contract calls have remained close to their record highs in recent quarters at close to 4.0 million.

External contract calls have also remained close to or at record highs in recent quarters of between 600,000 to 800,000 per day. Glassnode explains that Ethereum transactions can include calls for the execution of a smart contract that has been deployed on the blockchain. “When a contract is initiated by an Externally Owned Addresses (EOAs), it is referred to as an External Contract Call… these typically reflect users initiating a specific smart contract, such as an ERC-20 token transfer, a DeFi transaction, or an NFT trade,” Glassnode states.

Regarding internal contract calls, Glassnode explains that “developers of smart contracts can also include contract calls which are initiated from within the executed smart contract… these are called Internal Contract Calls and enable more complex and composable systems to be built and designed by developers”.

The ongoing strength of smart-contract activity taking place on the Ethereum blockchain is largely as a result of robust activity amongst the non-fungible token (NFT), ERC-20 and stablecoin transaction types. According to a separate graphic presented by Glassnode, NFT trades made up just under 16% of all transactions taking place on Ethereum on Monday the 27th of February.

ERC-20 token transfers - think the movement of tokens like Shiba Inu (SHIB) –