Ethereum Daily Transactions Surpass All Time High
If you wanted to measure the health of Ethereum, you might check to see what the price has been doing lately. While this measurement, up or down, is the starting point for many seeking to glimpse behind the veil of crypto-market fundamentals, there may be a superior way to gage the Ether’s current state. The daily transaction history of Ether may represent a better way of measuring the health of the decentralized application platform. If you tracked this statistic yesterday, you would have seen Ether breaking new ground.
On June 13, 2017, Ether was worth about $400 and the Ethereum network processed 316,788 transactions. Fast forward and the price of Ether is beginning its climb out of a two-month slump, but more significantly, Ethereum’s network has already surpassed its previous best for the number of transactions processed in a given day. Ethereum’s new record is 318,866 transactions in a day, and on August 8, it completed around 50,000 more transactions than bitcoin.
Although there are a plethora of ideas that seek to provide insight about how to track crypto-market dynamics, the general consensus of the ecosystem is that Ethereum is still too young to measure with traditional methodologies. However, by inspecting the facts and analyzing the trends surrounding Ethereum’s new daily transaction record, we are better suited to gage Ethereum’s general trajectory and health.
The number of transactions in a single day is perhaps the best representation for Ethereum’s, usability, adoptability, and desirability. The growing count of use cases being envisioned and developed on the Ethereum blockchain is formidable, while its usability is reflected in the network’s comparably low gas fees (around 12 cents). In contrast, some blockchains like bitcoin charge around $1 to process transactions. Adoptability of Ethereum has also grown. This is specifically evidenced by counting the new members of the Enterprise Ethereum Alliance and reviewing the representation from various industries. Most importantly, the record transaction high for Ethereum reveals the underlying support of the ecosystem. As previously mentioned, the price of Ether on August 8 was $100 lower than the prior high on June 13, yet, the transactions on August 8 superseded those from June 13. It remains unclear if this relationship is due to vague fundamentals at work or if Ethereum is simply being influenced by the larger issues within the cryptospace, like bitcoin’s recent hard fork. One thing is certain, Ethereum now has an approximate $27 billion market capitalization and will likely continue to rise in value as it continues to deliver on the promises of internet 3.0.
The market capitalization of all cryptocurrencies recently surpassed $122 billion signaling that another difficult milestone has passed. This may be the sign of a new bull market emerging. As mass adoption continues to drive Ethereum’s emergence into the mainstream, we are reminded of Ether’s mainstay slogan: HODL.
A correction was made to a misreported market cap figure.