Can Base Sustain Its Growth Amid Increasing Competition?

• Base’s TVL grew steadily, with bullish network activity increasing transaction volumes.
• DEGEN memecoin surged in price and holders on Base network.

The Base ecosystem, Coinbase’s Layer 2 network, had a standout month, with several tokens recording triple-digit gains over the past 30 days. Among these, AERO gained attention with its impressive 184,000 holders, more than double that of its main competitor, ALB. Memecoin DEGEN, however, stole the spotlight, boasting the highest number of holders with a staggering 760,000 addresses, reports prominent data aggregator, intotheblock.

The Base ecosystem had a strong month, with several tokens posting triple-digit gains in the past 30 days.

Let’s take a closer look at some of these tokens? pic.twitter.com/8f6Zi9yb1f

— IntoTheBlock (@intotheblock) October 4, 2024

On October 2, DEGEN surged in price and trading volume after its inclusion on Coinbase’s listing roadmap and the announcement that Base architect Jesse Pollak joined Coinbase‘s executive team. DEGEN’s price skyrocketed 127%, rising from $0.004 to $0.009 in less than 24 hours, while its trading volume leapt from $8.5 million to $136.8 million, according to CoinGecko data.

Despite this positive momentum, Base’s first memecoin, TOSHI, saw a decline in traction, with daily active addresses dropping to just 10 to 30, following brief spikes in activity.

Meanwhile, the Base’s Total Value Locked (TVL) continues to rise, reaching $2.189 billion. Data from DeFiLlama shows that daily active addresses stand at 2.08 million, with 24-hour inflows of $6.29 million and a total volume of $829.9 million.

Base Network Growth

Pollak’s influence extends beyond DEGEN, as he now leads the Coinbase Wallet team, signaling potential further integration between the Base ecosystem and Coinbase’s core offerings. The correlation between Base’s token movements and Ethereum (ETH) suggests that keeping an eye on ETH trends could provide valuable insights.

Moreover, on-chain data reveals a close relationship between stablecoin growth and its transaction volume, which saw substantial expansion in early 2024. As market swings continue, the resurgence of bullish activity has contributed to the network’s impressive performance, positioning Base for continued growth in the months ahead.

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