Over the last few weeks, the crypto market has witnessed a drastic change, including a surge in investor activity. During this time, Bitcoin is on a new price rally, currently trading at $67.2K, whereas other popular altcoins like Ethereum, Solana, and many others are also following an uptrend. With this, the crypto investor’s interest has returned to the market, whereas the fear and greed index indicates greed after two and half months. As a result, many have already declared the beginning of Uptober.
This is such a significant improvement that the global market capitalization has surged to $2.31T and $79.79 in trading volume. More importantly, the crypto’s new gains have made a significant profit for its holders. It includes this incident of a crypto trader doubling his investment within a few days.
Crypto Market Witnesses the Highest Active Addresses
A16zcrypto crypto report revealed shocking but impressive news about investors’ activity. As per the report, the crypto market is in its prime, with the highest number of monthly active addresses. Notably, there were around 220M active addresses in the previous month, which is triple the 2023 data.
More importantly, this explosion in the overall active address is due to Solana, the fifth-largest cryptocurrency in the market. Here, Solana alone is responsible for bringing 100 Million active addresses, followed by NEAR (31 Million), Base (22 Million), and TRON (14 Million). With this, these popular altcoins have beaten the top cryptos like Bitcoin and Ethereum, which is shocking. However, despite this rise, the Solana price rally is still pending. A few analysts have revealed that despite high active addresses, most were carrying zero to low SOL holding.
After a significant defeat, Bitcoin has the fifth-highest active address with 11 Million in the count. Additionally, Ethereum played a role with 6 million active addresses, much lower than expectations. On the other hand, the report revealed a significant increase in the blockchain capacity and a reduction in transaction costs. It figures that a Blockchain can process the transaction 50 times faster than it did four years ago. Interestingly, this happened due to the better Layer2 scaling solution, in which the Ethereum Dencun upgrade played a major role.
Cryptos Role in US Elections & Drastic Increase in AI Usage
The report also focused on the rising crypto searches in the US states with the Presidential election approaching. With less than three weeks before the election, the hype around the crypto market’s performance is also rising. Some analysts, including the Bitwise CEO predicted the Bitcoin price to hit a new high even before election day. More importantly, others have forecasted higher gains past the election based on results.
Based on such speculations, the A16zcrypto crypto report also found people’s rising enthusiasm around it. More importantly, the report revealed that the Bitcoin and Ethereum ETF have played a significant role in this increasing interest. It is also evident that the Spot Bitcoin ETF has witnessed 20 Billion in total inflows since its launch, which is impressive.
Even AI’s role did not go unnoticed, as the report explored the continuous overlap between Crypto and AI technology. As per the report, almost one-third (35%) of crypto projects now utilize Artificial intelligence, much higher than 2023’s 27% data.
What Is Next For Crypto Market As Engagement Peak?
With the crypto engagement peaking at this time, the anticipation around the Uptober and crypto rally is at its peak. The Bitcoin price is already bullish, as it crossed the $67K mark, and the major altcoins climbed to new highs. With this, the investors are buzzing with excitement about upcoming gains. Interestingly, the BTC Futures Open Interest hit a new high, which clearly shows investors’ excitement. It is the perfect combination, where historical trends (the Uptober rally) and the US election align perfectly to support this industry. As a result, it might push the crypto market further in growth, as many anticipate a Bull Run soon.
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