By
Steve Muchoki
April 19th, 2024
In a market-wide recovery on Tuesday, Bitcoin and Ethereum have reclaimed crucial levels after a week-long volatile session. Check out some interesting on-chain metrics for the two cryptos.
Amid the ongoing volatility in the crypto market Bitcoin (BTC) and Ethereum (ETH) have managed to seal their position above key resistance. During the crypto market recovery on Tuesday, June 29, the Bitcoin price move past $35,000 levels.
This price surge was crucial for BTC investors as the world’s largest cryptocurrency has been trading in a volatile price range between $30,000-$35,000. As per the latest data from Santiment, the Bitcoin crowd sentiment has been at historic low levels. Citing historical trends, Santiment further reports that this crowd FUD has proven to be the right time to buy more.
😒 #Bitcoin, despite jumping back above $36,000 Tuesday, is still seeing an extremely #bearish sentiment here on #Twitter. Historically, when crowd #FUD is this notable it's a much lower risk opportunity to get in while traders are awaiting lower prices. https://t.co/CnTeO4F1Ch pic.twitter.com/Ak26UUecXf
— Santiment (@santimentfeed) June 30, 2021
On the other hand, the address activity on the Bitcoin network has been on a sharp decline over the last few months. Besides, the recent regulatory crackdown from China has significantly changed several on-chain metrics for the crypto.
Earlier this week on Sunday, June 27, the Bitcoin network’s daily mean block interval shot to 23 minutes. This was the highest over the last decade. Only 58 BTC blocks were mined throughout the entire day, a staggering 60% drop from the baseline of 144/day.
1/ Yesterday, it took on average 1400s (or 23.3 min) to mine a #Bitcoin block. This denotes the largest daily mean block interval since the very early Bitcoin days.
Chart: https://t.co/L1ox8EJvSn pic.twitter.com/OG0zlyLJpP
— glassnode (@glassnode) June 28, 2021
On the other hand, the BTC hashrate has dropped more than 50% from its peak in May 2021. As a result, the mining difficulty for the Bitcoin network is likely to drop by 25% during the upcoming adjustment on Friday, July 2.
As Glassnode reported further, the daily revenue for Bitcoin miners has dropped by 80%. The BTC miner revenue has tanked from over $70M in May down to $12.8M.
Ethereum Recovers Above $2100
Along with Bitcoin, the world’s second-largest cryptocurrency Ethereum (ETH) also registered a strong recovery moving past $2100 levels. This comes after the ETH price was moving sideways under $2100 over the last week. At press time, Ethereum (ETH) is trading at a price of $2120 with a market cap of $247 billion.
The ETH price surge amid a surge in the address activity on the Ethereum blockchain. Earlier on Monday, June 28, a Santiment report suggested that the Ethereum address activity has surpassed that of Bitcoin for the first time in history.
Following up on yesterday's report on #Ethereum #FUD and the buy opportunity we saw, today has marked a historic day – For the first time in #crypto history, $ETH address activity is ABOVE $BTC address activity, as prices have soared back above $2,100. https://t.co/577N726RLL https://t.co/BSleSWdGID pic.twitter.com/eG5GrpYNBp
— Santiment (@santimentfeed) June 28, 2021
Ethereum enthusiasts are eagerly waiting for the London hardfork implementation ahead of next month in July. The hardfork will bring the much-awaited EIP-1559 implementation which will change the “base fee” structure of the Ethereum blockchain network.
This implementation aims to make the Ethereum network deflationary. Thus, it will probably solve the issue of the high gas fee.