Bitcoin Adoption: Highest Number of Daily Addresses in 5 Years
The adoption of Bitcoin (BTC) often goes hand in hand with the Bitcoin price. During a booming bull market, many new users naturally enter the ecosystem. Currently, there is an anomalous situation where the number of daily new addresses has reached a peak while the price is struggling.
On September 9, the well-known analyst Ali Martinez announced on Twitter that the number of new addresses reached a record high. Specifically, on that day, 717,331 new BTC addresses were created, the highest number since December 14, 2017, when 800,180 new addresses were generated.
The Significance of New BTC Addresses
The surge in the creation of new addresses does not directly correspond to the number of new users in the Bitcoin network. One user can have multiple wallets. Nevertheless, we can confidently say that the Bitcoin network is experiencing a significant influx of new users, which is bullish for the long term.
Continued Growth Despite Weak Bitcoin Price
The peak of 800,180 new wallets occurred just before the peak of the 2017 bull market. This contrasts significantly with the current market, which lacks any euphoria. Therefore, it is highly intriguing that the network is currently welcoming a significant number of newcomers despite the bearish market conditions.
Last week, it was reported that the total number of BTC wallets reached a milestone of 48 million. The adoption of Bitcoin seems to be unaffected by the uncertain BTC price at the moment.
Despite the recent price slump, with Bitcoin recording its lowest weekly close since March, there was a bounce from an important support level of $24,800. The price is currently trading at around $25,800. However, the price remains on uncertain grounds, and all eyes are now focused on the upcoming US inflation data release.
The adoption of Bitcoin is not solely dependent on the price; it is also influenced by various other factors, such as technological advancements, regulatory developments, and public sentiment. The current surge in the creation of new BTC addresses indicates a growing interest in the cryptocurrency, regardless of the short-term price fluctuations. This trend is a positive sign for the long-term success and adoption of Bitcoin.
- Ali Martinez. (September 10, 2023). [Twitter post]. Retrieved from https://twitter.com/ali_charts/status/1700945458502258712?ref_src=twsrc%5Etfw