Is Crypto Losing Steam? Bitcoin And Ethereum Addresses Shrink In 2024
03 Octobre 2024 - 11:30PM
NEWSBTC
The cryptocurrency market is presently experiencing a substantial
decline, as both Bitcoin and Ethereum have experienced a
substantial decrease in active addresses. This trend, which has
persisted throughout 2024, has triggered apprehension regarding the
future of these prominent cryptocurrencies. The implications for
market dynamics could be profound as investor enthusiasm
diminishes. Related Reading: What’s Holding Bitcoin Back? Analyst
Says $71,000 Is The Magic Number Declining Active Addresses
According to the latest stats from CryptoQuant, Bitcoin’s active
addresses have contracted by about 1.17 million to 855,000, whereas
Ethereum has reduced by about 382,000 to 312,000. This equates to a
27% drawdown for Bitcoin and an 18% decline for Ethereum
year-to-date. The absence of new investors entering the market
appears to be the primary cause of this decline. This is essential
for maintaining favorable momentum, as existing participants
dominate trading activity in the absence of new capital inflows.
Since early 2024, active Bitcoin and Ethereum addresses have been
declining “For the bulls to dominate the market, the influx of new
investors is a crucial condition. 1. Bitcoin 1.17M -> 855K 2.
Ethereum 382K -> 312K” – By @burak_kesmeci Full post
👇https://t.co/gZftQidnxa pic.twitter.com/q5cdpv7x6t —
CryptoQuant.com (@cryptoquant_com) October 1, 2024 The anticipated
excitement surrounding the approval of spot ETFs has not translated
into increased activity on the blockchain. Still, the current user
base carries a lot of investors who would have expected such
developments. The continued quantitative tightening of the Federal
Reserve continues to strip liquidity from the market, adding more
pressure to the situation. Market Sentiment And Future Prospects
There are, however indications that a potential rebound is near in
the face of these challenges. For example, funding rate on Ethereum
has remained positive for the past week, meaning there is growing
interest among investors in long positions. This implies that
whereas plunges in the price of Ethereum have been ongoing, a good
majority of the market remains optimistic regarding its performance
going forward. BTC and ETH addresses decline: BTC drops to 855K,
ETH to 312K in 2024 Since the start of 2024, the number of active
Bitcoin and Ethereum addresses has continued to drop. Bitcoin
addresses fell from 1.17 million to 855,000, while Ethereum
addresses declined from 382,000 to… — CoinNess Global (@CoinnessGL)
October 1, 2024 It’s quite interesting that large Ethereum holders
have been accumulating their assets, rather than selling them off.
These large holders reduced their outflows from 311,950 to 139,390,
suggesting they have confidence in the long-term prospects of the
altcoin. Investors that do this kind of action usually expect the
prices to recover soon. Furthermore, Bitcoin’s Exchange Flow
Multiple has experienced a substantial decline. This metric
contrasts with short-term inflows and outflows with those over a
lengthier period, indicating that current trading activity is
significantly lower than historical averages. A low Exchange Flow
Multiple typically suggests that investors are holding their assets
in anticipation of future price increases rather than actively
trading them. Related Reading: Could XRP See A 360% Surge By
Christmas? Experts Think So Bitcoin & Ethereum: Broader
Perspective The broader bitcoin market is negotiating a complicated
terrain molded by geopolitics concerns and legislative changes.
Recent occurrences have helped investors to be generally more
cautious. For instance, despite market volatility causing Ethereum
to tumble to about $2,390, Bitcoin has managed to remain constant
above $61,100. Featured image from Vecteezy, chart from TradingView
Quant (COIN:QNTUSD)
Graphique Historique de l'Action
De Oct 2024 à Nov 2024
Quant (COIN:QNTUSD)
Graphique Historique de l'Action
De Nov 2023 à Nov 2024