{"id":290192,"date":"2024-04-26T09:55:46","date_gmt":"2024-04-26T04:25:46","guid":{"rendered":"https:\/\/dripp.zone\/news\/?p=290192"},"modified":"2024-04-26T09:55:46","modified_gmt":"2024-04-26T04:25:46","slug":"polkadot-in-april-explaining-the-90-drop-in-transactions-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/polkadot-in-april-explaining-the-90-drop-in-transactions-crypto-news\/","title":{"rendered":"Polkadot in April: Explaining the 90% drop in transactions &#8211; Crypto News"},"content":{"rendered":"<p><\/p>\n<div>\n<ul>\n<li style=\"font-weight: 400\"><em><span style=\"font-weight: 400\">Polkadot has seen a decline in user activity this month.<\/span><\/em><\/li>\n<li style=\"font-weight: 400\"><em><span style=\"font-weight: 400\">Demand for its DOT coin also remains low.<\/span><\/em><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400\">Monthly transaction volume on <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/ambcrypto.com\/category\/polkadot-news\/\" data-wpel-link=\"internal\">Polkadot\u2019s [DOT]<\/a> Relay Chain and parachains is poised to close April at its lowest level year-to-date (YTD), data from <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.theblock.co\/data\/on-chain-metrics\/polkadot\" data-wpel-link=\"external\">The Block<\/a> has shown.\u00a0<\/span><\/p>\n<div id=\"attachment_387106\" style=\"width: 2570px\" class=\"wp-caption aligncenter\"><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/ambcrypto.com\/wp-content\/uploads\/2024\/04\/Polkadot-Value-Moved.png\" data-wpel-link=\"internal\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-387106\" class=\"wp-image-387106 size-full\" src=\"https:\/\/ambcrypto.com\/wp-content\/uploads\/2024\/04\/Polkadot-Value-Moved.png\" alt=\"Polkadot Value Moved\" width=\"2560\" height=\"788\" \/><\/a><\/p>\n<p id=\"caption-attachment-387106\" class=\"wp-caption-text\">Source: CryptoQuant<\/p>\n<\/div>\n<p><span style=\"font-weight: 400\">\u00a0<\/span><span style=\"font-weight: 400\">The Relay Chain is the central chain of the Polkadot network that handles the coordination and security of the blockchain. Its parachains refer to the individual blockchains that run parallel and are connected to the Relay Chain.<\/span><\/p>\n<p><span style=\"font-weight: 400\">So far this month, the network\u2019s transaction volume has totaled $400 million, representing a 56% decline from the $916 million recorded in March. Polkadot\u2019s monthly transaction volume has dropped by 90% from the $4 billion it registered at the end of January.<\/span><\/p>\n<h4><b>Polkadot witnesses user drought<\/b><\/h4>\n<p><span style=\"font-weight: 400\">The decline in the economic throughput across Polkadot Relay Chain and its parachains is due to the low user activity on the network in April.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">According to data from The Block, the past 25 days have been marked by a 43% drop in the number of unique addresses active on the network\u2019s Relay Chain as senders or receivers.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Likewise, new user demand for the Polkadot Relay Chain has plummeted. <\/span><\/p>\n<p><span style=\"font-weight: 400\">So far this month, the number of unique addresses appearing for the first time on the network has totaled 44,000. This represents a 60% fall from the 112,000 new demand for the Layer-0 blockchain in March.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Across its several parachains, the month has seen a corresponding decline in user activity. According to The Block\u2019s data, the count of monthly active addresses closed March at a YTD high of 6 million.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">However, April has seen a reduction in network activity across Polkadot\u2019s parachains, with only 2.2 million active addresses recorded in the past 25 days.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Further, new demand for these parachains has dropped. In the past 25 days, only 101,000 new addresses have used these networks. In March, they recorded 1.52 million new addresses.<\/span><\/p>\n<p><b>Look before you leap<\/b><\/p>\n<p><span style=\"font-weight: 400\">Although readings from DOT\u2019s Moving average convergence\/divergence (MACD) showed a resurgence in bullish sentiments, it is key to note that demand for the altcoin remains low.<\/span><\/p>\n<hr \/>\n<p style=\"text-align: center\">Read\u00a0<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/ambcrypto.com\/predictions\/polkadot-price-prediction\" data-wpel-link=\"internal\">Polkadot\u2019s [DOT] Price Prediction<\/a>\u00a02024-25<\/p>\n<hr \/>\n<p><span style=\"font-weight: 400\">As of this writing, the coin\u2019s key momentum indicators rested below their respective center lines, suggesting that market participants favored sell-offs over accumulation.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Its Relative Strength Index (RSI) was 38.72, while its Money Flow Index (MFI) was 37.20.<\/span><\/p>\n<div id=\"attachment_387107\" style=\"width: 2570px\" class=\"wp-caption aligncenter\"><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/ambcrypto.com\/wp-content\/uploads\/2024\/04\/DOTUSDT_2024-04-25_10-03-56.png\" data-wpel-link=\"internal\"><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-387107\" class=\"wp-image-387107 size-full\" src=\"image\/svg+xml,%3Csvg%20xmlns=\" alt=\"DOT 1D Tradingview\" width=\"2560\" height=\"1225\" data-lazy-srcset=\"https:\/\/ambcrypto.com\/wp-content\/uploads\/2024\/04\/DOTUSDT_2024-04-25_10-03-56.png 2560w, https:\/\/ambcrypto.com\/wp-content\/uploads\/2024\/04\/DOTUSDT_2024-04-25_10-03-56-300x143.png 300w, https:\/\/ambcrypto.com\/wp-content\/uploads\/2024\/04\/DOTUSDT_2024-04-25_10-03-56-1024x490.png 1024w, https:\/\/ambcrypto.com\/wp-content\/uploads\/2024\/04\/DOTUSDT_2024-04-25_10-03-56-768x367.png 768w, https:\/\/ambcrypto.com\/wp-content\/uploads\/2024\/04\/DOTUSDT_2024-04-25_10-03-56-1536x735.png 1536w, https:\/\/ambcrypto.com\/wp-content\/uploads\/2024\/04\/DOTUSDT_2024-04-25_10-03-56-2048x980.png 2048w, https:\/\/ambcrypto.com\/wp-content\/uploads\/2024\/04\/DOTUSDT_2024-04-25_10-03-56-1200x574.png 1200w\" data-lazy-sizes=\"(max-width: 2560px) 100vw, 2560px\" data-lazy-src=\"https:\/\/ambcrypto.com\/wp-content\/uploads\/2024\/04\/DOTUSDT_2024-04-25_10-03-56.png\" \/><img loading=\"lazy\" decoding=\"async\" aria-describedby=\"caption-attachment-387107\" class=\"wp-image-387107 size-full\" src=\"https:\/\/ambcrypto.com\/wp-content\/uploads\/2024\/04\/DOTUSDT_2024-04-25_10-03-56.png\" alt=\"DOT 1D Tradingview\" width=\"2560\" height=\"1225\" \/><\/a><\/p>\n<p id=\"caption-attachment-387107\" class=\"wp-caption-text\">Source: DOT\/USDT on TradingView<\/p>\n<\/div>\n<p>\u00a0<\/p>\n<div class=\"post-nav\">\n<div class=\"next-blog\">\nNext: <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/ambcrypto.com\/cardano-in-crisis-ada-hit-as-whales-shy-away-from-buying-the-dip\/\" data-wpel-link=\"internal\">Cardano\u2019s price in crisis \u2013 Are whales REALLY buying the dip?<\/a> <\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Polkadot has seen a decline in user activity this month. Demand for its DOT coin also remains low. Monthly transaction volume on Polkadot\u2019s [DOT] Relay Chain and parachains is poised to close April at its lowest level year-to-date (YTD), data from The Block has shown.\u00a0 Source: CryptoQuant \u00a0The Relay Chain is the central chain of [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":290193,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[230,225,221,227,226,228,229,60,223,224,222],"class_list":["post-290192","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency","tag-brave","tag-coinbase","tag-crypto","tag-decentralised","tag-decentralized","tag-decentralized-exchange","tag-erc-20","tag-featured","tag-meme-coin","tag-robinhood","tag-solana"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/290192","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=290192"}],"version-history":[{"count":2,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/290192\/revisions"}],"predecessor-version":[{"id":290195,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/290192\/revisions\/290195"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/290193"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=290192"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=290192"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=290192"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}