Smart contract platforms have reached all-time highs in active addresses in the face of a price correction – a good sign for the asset class, according to analyst Jamie Coutts.
Citing active address data from the analytics platform Artemis, Coutts says that the surge during the current price dip is a positive sign.
“The daily active addresses metric for Smart Contract Platforms (SCP) hits an all-time high of 17 million, up from 5 million 12 months ago.
Total Mkt Cap is down -35% since March but up 63% from a year ago.
This is a healthy correction in a secular bull market.”
According to Artemis’ data, active addresses for Solana have been skyrocketing since late 2023, and have since eclipsed Ethereum (ETH). However, Ethereum still leads Solana in stablecoin market cap, stablecoin transfer volume, total value locked (TVL) and other metrics.
In a new video update, Coutts says that market liquidity is starting to increase, setting up Bitcoin (BTC) to rally in the final four months of the year when the flagship cryptocurrency generally performs well.
“I think people in crypto get very focused on the short term. The things that drive crypto long-term are things like liquidity, and that certainly has improved…
Zooming out, I think the conditions are there for a pretty strong Q4. September is always pretty shitty when you look at Bitcoin over the years. But it is the Q4 period where Bitcoin tends to sort of do rather well. So it could trade heavy from here. Barring any sort of major escalations or unforeseen geopolitical things, I think Q4 will still be a pretty strong quarter.”
Follow us on X, Facebook and Telegram
Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Check Price Action
Surf The Daily Hodl Mix
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: DALLE-3
