- Although the total amount of transactions on the Ethereum platform exceeded Bitcoin’s by more than fourfold, Bitcoin remained the most widely used cryptocurrency in 2022
- Ethereum may be ahead of Bitcoin in terms of transactions and activity, but Bitcoin is still the most frequently searched cryptocurrency online
Bitcoin has long been the most widely used and well-known digital asset in the cryptocurrency market. However, the volume of transactions for Ether, the second-largest cryptocurrency by market value, increased significantly in 2022.
Last year, the Ethereum network outperformed Bitcoin in terms of total transaction volume, but Bitcoin (king of cryptocurrencies) still holds the top spot when it comes to online search attention.
Statistics from NASDAQ and Ycharts provided on Reddit on January 2 show that the Ethereum network substantially larger transaction volume (338%) than the Bitcoin network (93.1 million).
One reason for Ethereum’s success is its ability to support smart contracts. Smart contracts allow for a wide range of decentralized applications to be built on top of the Ethereum platform, including non-fungible tokens (NFTs) and decentralized finance (DeFi) projects.
ETH vs. BTC transaction volumes – Nasdaq/Ycharts via Reddit
The data in the graph are expressed in terms of millions of transactions, with an average daily volume of 255,000 for BTC and 1.1 million for ETH. However, compared to Ethereum, whose transaction volume was significantly more volatile, the Bitcoin network’s transaction volume was more regular and stable. This was brought on by demand spikes at particular times, such as NFT launches and other gas-guzzling events like XEN minting.
According to Bitinfocharts, Ethereum’s increased transaction volumes have extended into the new year, with the total number of transactions on Jan. 2 hitting 924,614, a 300% increase over Bitcoin’s 229,191 transactions that day.
ETH vs. BTC transaction volumes — Bitinfocharts
The analyst who published the data was “skeptical about those stating that a flippening could happen someday,” but he added that those who were in favor of it now had good cause to do so. When one chain outperforms a higher-ranked one for the same metric—in this case, transactions and activity—this is known as a flippening.
Ethereum may be ahead of Bitcoin in terms of transactions and activity, but Bitcoin is still the most frequently searched cryptocurrency online. Bitcoin is accepted by a considerably wider variety of businesses and services and has a lot higher market capitalization. Due to its history and decentralized character, it is also regarded as a more reliable and secure investment.
Due to the increasing popularity of NFTs and DeFi projects developed on the Ethereum platform, Ethereum’s transaction volume has considerably increased over the last year. With a higher market capitalization and greater acceptability among businesses and services, Bitcoin continues to be the most well-known and often used cryptocurrency. It is important for investors to carefully consider the risks and potential rewards of both Bitcoin and Ethereum before making any investment decisions.