Ethereum

Uniswap

Change

Polygon

<h2 id="key-points">Key Points</h2>
<ul>
 <li>Ethereum’s dApp volume increased by 92.43% in the last week, outperforming other blockchains.</li>
 <li>Despite decreased demand for ETH, withdrawals from exchanges have increased.</li>
</ul>
<p>Ethereum [ETH] has distinguished itself from other blockchains with a 92.43% increase in dApp volume over the past seven days. For those unfamiliar, dApps are decentralized Applications that function on a blockchain network, utilizing smart contracts to facilitate trading and user interactions. Typically, lower transaction fees result in a surge in volume.</p>
<h2 id="ethereum-s-dominance">Ethereum’s Dominance</h2>
<p>Ethereum’s dominance can be attributed to the affordable gas fees enabled by the Dencun upgrade implemented in March. Currently, Ethereum’s dApp volume stands at $71.13 billion. This figure surpasses that of BNB Chain, Polygon [MATIC], and Tron [TRX]. However, not all applications experienced an increase. Notably, dApps like Blur, EigenLayer, and Uniswap [UNI] NFT Aggregator saw significant increases, while others like Uniswap V2 and V3 experienced declines.</p>
<p>This data indicates a surge in NFT trading and staking, which significantly impacted the volume increase. However, token trading on the blockchain did not reach comparable levels. Consequently, there was a noticeable decrease in the network’s Unique Active Wallet (UAW), a measure of user engagement and activity.</p>
<h2 id="ethereum-s-price-fluctuations">Ethereum’s Price Fluctuations</h2>
<p>Meanwhile, ETH’s price is currently $3,365, a 2.32% decrease in the last 24 hours. Despite optimism for the token’s performance this month, the price of ETH may continue to decrease or trade sideways. This prediction is based on Ethereum’s Network Growth, a metric that measures the number of new addresses making their first successful transaction. Currently, this metric is down to 23,300, suggesting a decrease in adoption.</p>
<p>Historically, an increase in Network Growth often leads to a jump in ETH’s price, while a decrease results in a fall. Despite a bearish short-term outlook, the long-term forecast for ETH appears promising due to the Exchange Net Position Change on Ethereum, a metric that tracks the 30-day supply of cryptocurrencies held in exchange wallets. According to Glassnode, ETH holders have been withdrawing their assets from exchanges for several months. If this trend continues, it could provide stability for ETH’s price, potentially leading to ETH hitting $4,000 this quarter or surpassing its all-time high.</p>

Ethereum’s dApp Volume Skyrockets, yet Caution Urged for ETH Bulls

Table of Contents

CoinEagle.com

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