Ethereum price is down 90 percent from its all-time high as it currently sitting at around $138. For the last one month, the second largest cryptocurrency has been trading around $140. The price might be not showing signs for an uptick, for now, however, the active addresses on Ethereum are yet again showing signs of life.
In the last year, as the price has gone down, the active addresses took a drop as well. On 9th June 2019, addresses took a serious drop to 114k. From July onwards, they have been on a constant decline, however, in early February, they have started to rise up yet again. On February 10th, the active addresses on Ethereum blockchain recorded at 200k and since then, they have climbed to 350k.
Eric Conner who is building Ethhub said,
“Ethereum's active addresses are starting to rise again, while the gap between use and price continues to widen. Historically, this gap is usually closed by price recovery.”
Unlike active addresses, unique addresses on Ethereum have been only increasing just about closing 60 million with a daily increase of 90,847.
Meanwhile, the founder sale of Neon District, an upcoming cyberpunk role-playing game that is built on Loom Network on March 28th accounted for 23 percent of Ethereum transactions as reported by Neon District CTO.
— Ben (@cybourgeoisie) March 29, 2019
Though still holding on its second position in the crypto space, Ethereum has starting to lose its market share for sure. With projects like Tron and EOS boasting of a higher speed, Ethereum is getting left behind as users and developers jump to those blockchains. However, though Ethereum co-funder Vitalik Buterin acknowledges this shift, he says it’s nothing to worry about.
“It’s definitely lost some lead to some extent, and I think that’s just because, first, it’s kind of inevitable and unavoidable because Ethereum really was the first general purpose, smart contract. That’s part of an inevitable part of the process,”
said Buterin in an Unchained podcast.
To counter these problems, Ethereum is working on its scaling issues but
“Ethereum’s scaling plan is a multiyear process and exceptionally difficult to execute, so developers are trying out other options,”
said Travis Kling, founder of Ikigai, a Los Angeles-based crypto hedge fund.