One of the signs that a cryptocurrency ecosystem is in good shape is the level of its network activity, especially on a daily basis. This is an indicator that blockchain is being used, often for the movement of values, and Ethereum has shown high demand for its main network, a demand 50x that of Bitcoin.
Current demand for the Ethereum blockchain is well above Bitcoin, based on total daily network charges, transactions processed, and other blockchain data.
With this data based on blockchain analytics platforms, it is possible to see that Ethereum has a much higher activity than Bitcoin, the largest cryptocurrency in the industry, by market cap. Bitcoin is not even in the top five of daily activities in the crypto market.
As evidenced by data from CryptoFees, a platform that focuses on tracking the daily fees paid by networks, it is possible to see Ethereum dominating value by far. This indicates that there are many charges at first because there are many transactions, and the price of charges can also be high due to the demand for the network.
Platform data shows that the Ethereum network generated $20.3 million in daily fees on Friday, with Bitcoin lagging at just $422,000, roughly 2.5% of Ethereum’s value.
This is a clear sign that the demand for the Ethereum network is higher than Bitcoin, but it is worth noting that this is not to say that there is more interest in ETH than in Bitcoin, but rather that the blockchain itself has more activity.
Ethereum in high demand
When comparing the daily activity of Ethereum to Bitcoin, it is always good to consider the difference between the two blockchains. Bitcoin, as important as it is, has a blockchain that is limited to its ecosystem, with a few exceptions.
Ethereum, on the other hand, is the basis of several DeFi projects and even NFTs, as well as several other second-tier projects that still leverage the second largest cryptocurrency in the world.
With that, there are many more uses for the Ethereum blockchain and its demand certainly places it as the leading altcoin in the industry and it is very possible that it will remain in that position for quite some time to come.
Source: Live Coins
John Cameron is a journalist at The Nation View specializing in world news and current events, particularly in international politics and diplomacy. With expertise in international relations, he covers a range of topics including conflicts, politics and economic trends.