Ethereum makes crypto history by becoming the first cryptocurrency to surpass bitcoin in a major milestone.
Bitcoin has been overtaken in a key transaction and trade metric for the first time in cryptocurrency history.
Ethereum (ether) surpassed bitcoin in terms of daily active addresses after a big price increase on Tuesday, according to statistics acquired by crypto analytics firm Santiment.
“Altcoins came to play on a day that saw Ethereum exceed bitcoin in daily active addresses for the first time,” the company added.
This trend was seen a few times in April and May, according to BitInfoCharts data, albeit the dataset appears to be incomplete.
The rise in daily active addresses coincides with a drop in Ethereum costs to their lowest point in six months.
“The average transaction price on Ethereum has plummeted to $2.15, the lowest fee since December 2020,” said Simon Peters, a market analyst at online trading platform eToro.
“Average costs surged to about $70 during May's crypto bull run, but they've all decreased since the market crash. It's possible that as the network advances closer to the 2.0 upgrade, fees will drop even further, despite the fact that the upgrade will take years to complete. However, the change will result in faster and cheaper mining in the future, as well as an improvement in Ethereum's environmental credentials.”
Ethereum reached an all-time high in mid-May, around a month after bitcoin. Its price plummeted from about $4,200 to under $1,800 as a result of the enormous crash.
It has since risen above $2,100 and is currently trading at the same level as it was at the beginning of April. Year over year, it's still up more than 800%.
Bitcoin's collapse was less dramatic than ether's, but it has yet to rebound to the same extent.
As a result of the losses, the world's most valuable cryptocurrency had the worst second quarter in its history in 2021, falling by half from all-time highs in April.
Analysts are split on which direction the biggest cryptocurrencies will take next.
For the fifth time since 2012, bitcoin has entered a major "buy phase," according to one indicator. For the first time since March 2020, the Puell Multiple graph, which measures mining profitability, entered the green zone this week.
Following that incident, bitcoin saw its largest market surge in history, but some believe the cycle's pinnacle has already been reached.