Home Bitcoin News The dominance of bitcoin is growing amid the rise of on-chain activity

The dominance of bitcoin is growing amid the rise of on-chain activity

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The growth of bitcoin’s market dominance to 45.6% is accompanied by an increase in on-chain activity. This was reported by analysts of the IntoTheBlock resource in their blog. According to their observations, the weekly volume of commissions in the bitcoin blockchain jumped by 32.1% to $4.7 million.

The dominance of bitcoin is growing amid the rise ofSource: medium.com

The Ethereum network, for example, is inferior in percentage growth (26.6%), but in monetary terms it significantly outstrips the bitcoin blockchain ($242.5 million). The increase in commission costs reflects investors’ interest in blockchain networks, analysts write.

The number of bitcoin hodlers has also increased. Over the past week, exchanges have recorded an outflow of the largest cryptocurrency by capitalization in the amount of $ 100 million. However, in the case of ETH, exchanges have registered a $306 million influx of cryptocurrencies. According to IntoTheBlock, the withdrawal of bitcoin from trading platforms may indicate the interest of investors in long-term storage.

1634128699 263 The dominance of bitcoin is growing amid the rise ofSource: medium.com

Large transactions in the cryptocurrency network also played into the hands of bitcoin’s dominance. For example, on October 7, the number of large on-chain transactions (worth more than $100,000) reached a four-month high. Then, for several days, users sent $240 billion daily.

According to experts, such a high activity of large transfers can be explained by the recent news that the family office of billionaire George Soros invested in bitcoin. The optimism of investors is also influenced by rumors about the possible approval of a bitcoin fund traded on the exchange. Recall, according to Bloomberg strategists, the bitcoin ETF may receive approval from US regulators as early as October.

The growth of demand in the bitcoin market was previously reported in Glassnode. They noticed that since the beginning of October, the number of daily active wallets in the bitcoin blockchain has jumped by 19% to the level of 219,000 units.




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