Base Surpasses Ethereum in Uniswap DEX Volume: Is a Change Coming?
Journalist
- Base became the protocol with the highest Uniswap DEX volumes, surpassing Ethereum.
- The Ethereum ecosystem stagnated, the number of active addresses on the network decreased.
Ethereum [ETH] was one of the most dominant networks in the crypto space. However, newcomers are slowly starting to encroach on the altcoin king’s territory.
Ethereum is being overtaken
Base was one of the networks that managed to rival Ethereum in DEX (Decentralized Exchange) usage.
According to a tweet by Token Terminal, the percentage of daily active users of Uniswap [UNI] (one of the largest DEXs in the crypto space) on the Base network was 36.30%. Ethereum came in second with 23.74%.
Source: X
The declining popularity of Ethereum in various sectors can negatively affect the Ethereum network. Another area where Ethereum struggled to gain popularity was the NFT sector.
AskFX’s examination of CryptoSlam data found that Bitcoin [BTC] was the most dominant network in terms of NFTs.
Ethereum was a distant second in both sales volume and number of buyers and sellers. Polygon [MATIC] and Solana [SOL] also quickly caught up to Ethereum.
Popular blue-chip NFT collections such as Bored Ape Yacht Club [BAYC] and Mutant Ape Yacht Club [MAYC] saw a massive drop in overall interest.
Reserve prices and sales volumes for both collections have fallen over the past few months.
Source: Crypto Slam
As a result of these factors, activity on the Ethereum network decreased.
AskFX’s analysis of Token Terminal data found that daily active addresses on the Ethereum network dropped by 5.8% over the past month, causing the revenue generated by the Ethereum network to plummet.
Source: Token Terminal
ETH remains unfazed
At press time, ETH was trading at $3,688.41 and its price had seen a slight correction of 0.13% over the past 24 hours.
Network growth for ETH also declined significantly during this period, suggesting that new addresses were unwilling to purchase new ETH tokens at the press time price.
The rate at which ETH was traded dropped sharply, suggesting that the frequency at which ETH was traded has dropped significantly.
Source: Santiment
Read Ethereum [ETH] Price Prediction 2024-25
However, if the smoke around Ethereum ETFs clears and there is more clarity on the approval of the remaining Ethereum ETFs, things could change for the better for ETH.
With institutional money pouring in from Wall Street, the potential for further upside is likely.
