A prominent crypto analytics firm says that Bitcoin (BTC) and Ethereum (ETH) fees are plummeting as the speculative frenzy around digital assets loses steam.
New data from market intelligence platform IntoTheBlock reveals that the total fees associated with the crypto king and the leading smart contract platform have dropped 32% and 24.4% this week, respectively.
“Bitcoin and Ethereum fees have taken a notable dive this week, dropping by 32% and 24% respectively. Looks like the speculative frenzy might be simmering down. Will this trend continue or is it just a temporary pause?”
IntoTheBlock also notes that whale activity centered around the top altcoin has kicked into high gear as deep-pocketed ETH investors now hold about 3.5 million more tokens than they did earlier in 2023.
“Ethereum whales are on the rise! They now hold 30.07 million ETH, up from 26.56 million ETH in early 2023. The increasing holdings of addresses holding over 0.1% of the supply suggest ongoing accumulation.”
Moving on to the top crypto asset by market cap, the analytics firm finds that BTC and stocks are increasingly exhibiting a lack of correlation or negative correlation, which could mean that fresh capital is on its way to Bitcoin.
“Bitcoin and stocks are currently exhibiting a remarkable lack of correlation, and are even displaying a negative correlation! Studies show that allocating 10-20% of your assets in uncorrelated assets can significantly decrease risk. Could this emerging trend attract fresh capital to Bitcoin?”
Bitcoin is trading for $26,791 at time of writing, a 0.94% increase during the last 24 hours while Ethereum is moving for $1,833, a 1% increase in the last day.
Generated Image: Midjourney
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