Fresh data from the on-chain analysis platform Santiment reveals an interesting trend unfolding within the Bitcoin (BTC) and Ethereum (ETH) ecosystems. Bitcoin has recently seen a significant decrease in active wallets, a situation reminiscent of pre-$20k price levels.
Santiment reports that this drop in non-zero Bitcoin wallets over the past three days is the largest seen in recent memory, indicating a sense of caution among holders. On the contrary, the Ethereum network is experiencing growth in the number of wallets, showcasing a distinct level of confidence from investors.
Analyzing the recent wallet activity provides valuable insights into market trends. Bitcoin, the leading cryptocurrency, has witnessed a 2.4% weekly price decline and a 0.6% drop in the past day, currently trading at $65,211.
The recent decline in Bitcoin price aligns with the decrease in active wallets, suggesting a potential market-wide sell-off as traders move away from Bitcoin due to apprehensions of further price drops. Conversely, the increase in Ethereum wallet creations indicates a more optimistic outlook within its community.
Ethereum’s continuous growth could be attributed to its ongoing platform developments and perceived resilience amidst the volatile market conditions. Investors may be turning to Ethereum as a safer or more promising investment option, especially with the recent approval of spot ETFs and their upcoming live trading.
These dynamics highlight the diverse paths that cryptocurrencies can take within the market, showcasing how altcoins like Ethereum can exhibit independent trends despite Bitcoin’s influence.
