- BTC price rose 69% in the first quarter.
- However, over the same period, its blockchain activity declined.
User activity on Bitcoin [BTC] The network declined in the first quarter, Messerli found in a new study, even though the coin’s price rose significantly in the first quarter. report.
The on-chain data provider, in a report titled “Bitcoin Status in Q1 2024,” found that demand for the Bitcoin network decreased over a 90-day period.
The average daily number of addresses that completed at least one transaction on the blockchain during the quarter totaled 895,000. This represents a 5% decrease from his average daily active addresses of 937,000 on the Bitcoin network in Q4 2023.
The number of transactions completed on the blockchain during the quarter decreased due to a decrease in the number of active addresses on the blockchain. According to Messari, his average daily transactions on the network decreased by 15.3%.
Regarding the possible cause of the drop in network activity, Messari said:
“This change suggests that the decline in transactions may be due to a decrease in activity from bots or ‘super users’ (users who transact frequently and account for the majority of activity). . ”
Due to the reduction in the number of transactions on the network, the average fees received per transaction have also decreased. During the quarter under review, overall fees by the Bitcoin network increased by 42%.
There are some victories worthy of the name.
The first quarter of this year saw a significant increase in the value of BTC. Between January 1st and March 31st, the coin’s price increased by 69%. The coin ended the quarter at $71,310, setting a new all-time high during the quarter.
Messari said the Spot BTC ETF, which received long-awaited approval in January, was “probably the biggest catalyst” for the recorded price increase. During the first quarter, all 11 ETF providers recorded a total of $12.04 billion in inflows.
This quarter was also marked by an increase in block size due to inscription-related activities.
read bitcoin [BTC] Price prediction for 2024-2025
According to Messerli,
“Most recently, on March 2, 2024, Marathon mined a block of 3.99 MB. Then, F2Pool mined a block of 3.97 MB on March 30, 2024.”
Regarding network security, hashrate increased by 19% quarter-over-quarter. As of this writing, the Bitcoin network’s hash rate is 688.8973E, an increase of 16% since early April. bit information chart data.
