The post Arbitrum Surpasses 1 Million Daily Active Addresses Despite Price Decline appeared on BitcoinEthereumNews.com.

The rising competition in the Layer 2 blockchain sector continues to captivate the crypto community. Amidst significant upgrades, Starknet and Arbitrum have risen to prominence due to their user fee structures. Interestingly, both networks saw a decline in their token prices despite robust protocol performance. An in-depth analysis of Starknet and Arbitrum’s recent performance and what it means for the Layer 2 sector. Low Gas Fees Drive User Engagement Recent data reveal that Starknet and Arbitrum have become top contenders in terms of user fees, outranked only by zkSync Era. These two networks have made significant strides in minimizing gas fees, a critical factor for user adoption in the decentralized finance (DeFi) space. Despite the similar fee structures, there’s a notable gap in user activity between the two networks. Arbitrum has managed to attract a substantial number of daily active addresses, exceeding the one million mark, and its daily transaction volume has crossed three million. In contrast, Starknet, while showing growth, has yet to reach these activity levels. Divergence in DeFi Performance In the DeFi sector, the Total Value Locked (TVL) for both Starknet and Arbitrum has remained relatively stable. However, DEX volumes on these networks have shown significant fluctuations. This discrepancy highlights the varying levels of user engagement and transactional activity on each platform, which could be pivotal for future growth and competition in the Layer 2 space. STRK vs. ARB: Token Price Analysis As of the latest data, ARB is trading at $0.8017, reflecting a 1.1% increase in the past 24 hours. However, the token has experienced a downward trend since late May, characterized by lower lows and lower highs. The Relative Strength Index (RSI) for ARB stands at 42.27, indicating weakening bullish momentum, although a positive Chaikin Money Flow (CMF) suggests continued investment inflows. Similarly, STRK has…

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Filed under: News - @ June 23, 2024 10:16 am