New Wallet Addresses on Solana Reach Yearly High, Boosted by Bitcoin and Ethereum
The number of new wallet addresses created daily on Solana reached a yearly peak yesterday, according to data from The Block.
New Wallet Addresses on Solana Hit Yearly High, Driven by Bitcoin and Ethereum
The rising gas fees on Ethereum and Bitcoin have driven users to seek alternatives, including Solana. Consequently, the number of new addresses on the Solana ecosystem has reached its highest level in nearly a year.
Over the past seven days, this number surged to 304,640 addresses on May 16, marking the highest level since June 2022. The peak occurred in the first half of May, surpassing the total number of new wallets created in April.
New Wallet Address Statistics on Solana over the Past Seven Days. Source: The Block
Monthly New Wallet Addresses on Solana from January 2021 to Present. Source: The Block
Meanwhile, transaction fees on both Ethereum and Bitcoin also hit a three-month high last week. However, the number of addresses sending and receiving Bitcoin transactions has started to decline, reaching its lowest point since July 2021.
Bitcoin and Ethereum Transaction Fee Statistics from 2018 to Present. Source: The Block
Rebecca Stevens, a research analyst at The Block, commented:
"We saw a spike in Solana's new addresses at the beginning of May when Ethereum's gas fees surged, prompting users to switch to other platforms. However, this second wave of growth might also be driven by internal developments within Ethereum."
Rebecca Stevens also noted that new addresses on Ethereum Layer 2 solutions like Polygon are experiencing significant momentum.
New Wallet Addresses on EVM Chains in May 2023. Source: The Block
Despite past criticism of Solana for network outages, recent issues with Ethereum might be prompting a reassessment of the situation, according to Rebecca.
In an interview with CoinDesk TV earlier this month, Solana Labs co-founder Anatoly Yakovenko expressed unwavering confidence in Solana's blockchain prospects, even as the Layer-1 space becomes increasingly crowded.
Solana's SOL token has experienced a sharp decline following the collapse of the FTX exchange but has since rebounded strongly this year, showing a 109% increase. Over the past week, the token has seen only a slight variation of 0.6%.
4-hour Chart of the SOL/USDT Pair on Binance as of 07:00 AM on May 17, 2023
