The landscape of the cryptocurrency market has seen noteworthy shifts this year, especially with the rise of altcoins.
Previously, the market witnessed similar surges among altcoins, yet DaanCrypto considers current circumstances unique. As Bitcoin
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118,585 prices reclaim $118,500, the momentum for Ethereum
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4,184 has stagnated. In contrast, BASE, commemorating its second anniversary, continues to break new records. This analysis will delve into the recent evaluations and data from the BASE network.
Altcoin Surge
Periods when altcoins start to notably outperform Bitcoin often generate excitement among investors. Historically, such periods have resulted in altcoins yielding returns between five to ten times. At the start of this year, a comparable scenario unfolded, mainly marked by meme coins experiencing abnormal growth. However, DaanCrypto notes that the current dynamics are distinctly different.
“Last month, around 80% of altcoins outperformed Bitcoin. It’s been a while since altcoins consistently outpaced Bitcoin for more than a couple of weeks. Typically, these rallies in this cycle did not last long. However, with Ethereum breaking cycle peaks and substantial capital influx into major cryptocurrencies via treasury tools, I find this rally more appealing than previous meme-centric performances. In my view, this trend appears more sustainable.”
The distinct nature of this trend is evident. However, for sustained growth, Ethereum must maintain stability above $4,100 and exceed its all-time high to solidify BTC.D decline. Failure to do so may result in this attempt fizzling out without creating a genuine bullish environment, similar to past efforts.
BASE Network Expands
Coinbase‘s Layer2 solution, BASE, focusing on speed and low transaction fees, has captivated the crypto community. Over the past year, it has experienced exponential growth and increased Coinbase’s revenues. The exchange prioritizes listing tokens on this network, consistently supporting it with liquidity. Although the network lacks its own token, a decision against launching one was made clear from day one.
Recently celebrating its second anniversary, BASE has served over a million active users in the past year. With nearly ten million transactions and a total value locked (TVL) of $4.5 billion, BASE ranks among the largest. In just one year, the TVL witnessed a remarkable approximate growth of 9000%.
By March 2024, the network gained momentum, offering an attractive average transaction fee of $0.005.
