- The increased activity of meme coins on Base contributed to the increase.
- An increase in the number of active addresses could improve this number in the coming weeks.
Layer-2 projects built on Ethereum [ETH] blockchain such as Polygoon [MATIC] have experienced an increase in activity in the chain.
According to IntoTheBlock, transactions on the networks have reached 32 million every week since the Dencun upgrade.
However, the 32 million transactions weren’t just for Polygon – it also includes Base and Arbitrum [OP]and optimism [OP].
Source:
Ethereum completed the Dencun upgrade on March 13. For the uninitiated, the upgrade helped reduce costs on Layer-2 networks. Thus, activity was expected to increase.
No more gatekeeper
It’s been great to have this number over the last three weeks. However, it was proof that the development’s objectives worked, as newcomers did not have to worry about exorbitant gas rates.
When AMBCrypto analyzed the data, we noticed that Polygon was leading in several metrics. But Base kept it close. For example, on April 5, transactions on Polygon amounted to 4 million.
The basis, on the other hand, was 3 million, while Arbitrum was 1.5 million and 801,400 respectively. One other thing we noticed, though, was that despite Polygon’s numbers, Base surpassed it in terms of fees generated.
From our findings, Brett [BRETT], a meme coin built on Base, was one of the reasons the network dominated. Another was Toshi [TOSHI].
While TOSHI was built as the face of Brian Armstrong’s cat, BRETT was called Pepe’s [PEPE] best friend in the Base chain.
In the last 30 days, BRETT’s price has increased by 79.18%. At the time of writing, its market capitalization was $592 million.
TOSHI’s price rose 46.51% over the same period, while its market capitalization was just over $179 million.
Such figures imply that prices and market capitalization could be higher. If this is the case, total L2 transactions on Ethereum could be higher in the future.
The tide has turned
However, the dynamics were different active addresses. According to Santiment data, the 24-hour active addresses were at Polygon 2133.
On Arbitrum it was a lower level, namely 15,500. Optimism, on the other hand, had 10,000. Active addresses measure the daily level of interaction within a network.
Source: Santiment
But what was common to the metrics was that they were all decreasing.
By comparing the activity to the number of transactions, one can see that fewer market participants were involved in higher transactions from the Polygon side.
Realistic or not, here is the market cap of MATIC in terms of ETH
In the short term, network activity on the Ethereum L2s may decrease as user interaction decreases.
However, in the event that the market recovers from its ‘watchful’ mode, changes may occur. In this case, the number of active users could improve and the weekly transactions could exceed 32 million.