Bitcoin On-Chain Activity Slows Down as Congestion in Mempool Eases
Bitcoin’s on-chain activity has been on the rise recently, but it seems to be slowing down as the congestion in the Bitcoin mempool has eased. The mempool is a database of unconfirmed transactions, and it had nearly 500,000 unconfirmed transactions at one point. However, it has now decreased to around 250,000 at the time of reporting. This number was generally under 50,000 last year.
Bitcoin is particularly popular in El Salvador, which became the first nation state to adopt the cryptocurrency as legal tender in 2021. This move has been met with both excitement and skepticism, but it has undoubtedly increased Bitcoin’s visibility and usage in the country.
As for the recent slowdown in on-chain activity, it remains to be seen whether this is a temporary lull or a sign of a larger trend. However, it is worth noting that Bitcoin’s price has been relatively stable in recent weeks, hovering around the $40,000 mark. This stability may be contributing to the decrease in on-chain activity, as there is less urgency to move Bitcoin around quickly.
Regardless of the reason for the slowdown, it is clear that Bitcoin is still a major player in the world of cryptocurrency. Its adoption in El Salvador and its continued popularity among investors and traders ensure that it will remain a topic of interest for years to come.
About the author - J-S Tremblay
I've been involved in the cryptocurrency world since 2016 and trading since 2019. I started Moon and Lambo in 2021. I'm passionate about crypto and love to share my knowledge. I hate bankers and I hope that cryptocurrency will change the financial world for the better. View full profile...
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