The DEGEN token has become much more active, with the increase in the number of active addresses observed during the last seven days. This rise, as significant as it is, may reflect an increased interaction with the currency and speaks of increasing demand for the token’s utility.
The number of active $DEGEN addresses nearly doubled in the last week, highlighting a significant increase in on-chain activity alongside its recent price movement. pic.twitter.com/gOKZhCyL45
— IntoTheBlock (@intotheblock) October 2, 2024
A crypto analytics firm, IntoTheBlock, reported that the total active addresses grew from 3000 to 6600 between September 24 and October 1, 2024. The on-chain activity of the token has also risen, demonstrating the adoption of the crypto community and the potential for its price to follow suit.
What is $DEGEN?
The actual term ‘degen’ is derived from ‘degenerate,’ which refers to high-risk takers who lock their stakes on very risky coins. $DEGEN is a decentralized finance (DeFi) token, typically linked to speculative investments and meme culture in the crypto space. At first, it was a fun token; it is now quite the opposite of that, with a stable platform and an increase in both price and traffic.
The drastic rise in the number of active addresses is an indication that more and more people are buying, selling, or interacting with $DEGEN tokens on the network. This is a positive sign for any digital currency because the elevated activity tends to translate to higher usage, better market depth, and better long-term performance prospects.
IntoTheBlock shared this trend on social media on 2nd October 2024 and pointed out that the quantity of the active token addresses had almost doubled, suggesting increased blockchain interaction for this token.
Why This Matters for DEGEN Holders?
More people are holding this token; thus, the active address of DEGEN is higher, which means more people are trading or interacting with it in one way or another. Such actions may, at times, signify a fast-growing and more active community of consumers. Besides, on-chain activity could boost the liquidity of the assets, increasing the stability of their prices and attracting new money.
If you are interested in speculative investing or looking for the next potential trend in the crypto space, $DEGEN’s dramatic spike in its activity must be watched closely. Thus, although the markets for cryptocurrencies remain highly unpredictable, a rise in the number of users usually forms the basis for further growth.
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