Bitcoin (BTC) averaged over one million daily active addresses last week for the first time since January 2018. Rising usage indicators add to evidence of a rising bull market.
According to data compiled by Coin Metrics, ethereum is likely to breach all-time highs if the market continues to go green.
The data shows that “ethereum had an average of 626,000 daily active addresses during the period. This is only 111,000 less than the all-time high set on January 16, 2018”.
However, the report shows a sharp increase in network transaction fees during the same period.
Explaining this growth, the report states that “transaction fees also continue to rise, indicating a growing demand for block space.”
As the bulls dominated the market, both the Bitcoin and Ethereum networks were congested with unconfirmed transactions. Bitcoin miners respond to network congestion by prioritizing transactions with higher fees. However, as the number of transactions decreases, the transaction fees will also decrease.
The report appears to confirm this theory of higher transaction fees, revealing that the Ethereum network has generated more commissions than the Bitcoin network in the past week.
ETH averaged nearly $ 2 million in daily commissions last week and is still way ahead of BTC. But BTC is catching up, as BTC’s daily transaction fees rose 67.4% from last week compared to ETH’s 28.7% increase.
Additionally, the market capitalizations of bitcoin (BTC) and ethereum (ETH) rose to “new 2020 highs after breaking through pre-March levels”. The market capitalization of bitcoin has surpassed $ 215 billion while ethereum is $ 45 billion.
At the same time, the report shows that stablecoins have been on the rise “since the beginning of August”. The total supply of tether grew by over 400 million to a total of over 11.5 billion.
Most of that growth, however, came from the “Tron version of Tether (USDT-TRX), which has grown by about 250 million since July 31”.
However, the majority of Tether’s supply is still based on ethereum (USDT-ETH). USDT-ETH also continues to contribute to the general increase in ethereum usage.