The number of Ethereum Daily Active Addresses (DAA) is at a 9-month high, bringing to light the resilience of the network and its users who continue to shuffle tokens even as the world’s economy hangs by a thread.
Notably, the rapid ascend is just a few days after the crypto and stock markets plunged. DAA is a metric that shows the level of network interaction.
“There has been an impressive rise over the past week and a half with a large increase in transactions taking place on the ETH network, and daily active addresses skyrocketed to approximately 395,000 DAA on Saturday, March 21st. This was a 9-month high, with a daily level last exceeding this mark in late June 2019 (when prices reached an annual high of around $336).”
Daily Active Addresses Soar in Ethereum
Each address is unique and the more there is shuffling, the more there is activity, a net positive considering ETH’s demand is directly proportional to how active its dapps are. Transaction fees are paid in ETH regardless of the ERC-20 token value.
Before the steep losses of Mar 12, the number of active addresses stood at 250,000 per day but rose to 395,000 by Mar 21, 2020.
Interestingly, this exceeds those registered on in late June 2019 when prices peaked before falling throughout the second half of 2019 to spot rates.
Recovery after losing $17 billion
ETH, the native token of the Ethereum network, lost $17 billion when prices dropped from $277 to lows of $112.
There were concerns that investors losing confidence and the rapidity of the free fall will trigger another wave of selloff that could push prices back to $70 or Dec 2018 lows. However, from price charts, ETH has found support, and the recovery has been swift.
Ethereum is one of the leading dapp platforms. As the pioneer, it continues to strive despite new iterations that are faster and scalable.
The Vitalik-led smart contracting platform, for instance, is a top choice for DeFi dapps and new users, according to a report, continue to flock to the network even in the face of scalability issues and worries of more chaos when the network finally transits from Ethereum 1.0 to Serenity.
At that stage, Ethereum will be more scalable and robust, enabling dapps to launch and compete with their centralized apps.