EddieJayonCrypto

 20 May 24

tl;dr

New data reveals a significant decline in the creation of new Bitcoin wallets, reaching a six-year low with only 275,000 created in the past week, down from a 2018 high of 625,000. Miner revenue has also plummeted to historic lows, averaging below $30 million daily compared to over $60 million in pr...

New Developments in Bitcoin Market

New Bitcoin Wallets Plunge to 6-Year Low, Signaling Caution

New data reveals a significant decline in the creation of new Bitcoin wallets, reaching a six-year low with only 275,000 created in the past week, down from a 2018 high of 625,000.

Miner Revenue Tumbles as Network Activity Slumps

Miner revenue has also plummeted to historic lows, averaging below $30 million daily compared to over $60 million in previous months.

Bitcoin Price Holds Steady Despite Declining Network Activity

Despite these declines, Bitcoin's price remains steady at $67,131, showing resilience with modest gains over the past week and month, and a surge of 36% in trading volume, indicating continued investor interest.

Details:

New data reveals a sharp decline in the creation of new Bitcoin wallets on the network. The daily average number of new addresses added has reached a six-year low, with only 275,000 created over the past week. This marks a steep drop from the 2018 high of 625,000. In 2018, anticipation surrounding Bitcoin Exchange-Traded Funds (ETFs), the halving event, and major ecosystem developments like Ordinals fueled a surge in new wallet creation. That year, the network even surpassed its December 2017 peak in new addresses. The past month has seen only around 6 million new wallet addresses added – a far cry from the trend over the past year, where every month except May exceeded 10 million.

Echoing this slowdown, miner revenue on the Bitcoin network has also plummeted to historic lows. The average daily miner revenue currently sits below $30 million, compared to an average exceeding a staggering $60 million in previous months. The monthly average miner revenue mirrored this trend, dropping from a peak of $2 billion in March 2024 to below $1 billion in May.

Despite trading well below its all-time high of $73,000, Bitcoin remains afloat. As of press time, it sits at $67,131, with a slight decline of 0.2% in the last day. However, the cryptocurrency has shown some resilience with modest gains of 10% and 4% over the past week and month, respectively. Notably, a significant surge of 36% in trading volume suggests continued investor interest, despite the slowdown in network activity.

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