Monero network capacity decreased due to weakened transaction activity

At the beginning of last week, the average daily number of transactions in the Monero network reached 18,266, but over the weekend it dropped to 12,949 (according to BitinfoCharts).

The weakening demand for sending funds over the blockchain has led to a decrease in miner activity.

The hash rate on March 12 fell to 2.684 Gh/s, and last week it exceeded 3 Gh/s (according to CoinWarz platform).

The surge in transaction activity in the first half of March was the result of increased pressure on the private altcoin XMR from sellers.

During the week Monero lost about 14% in value, but over the weekend the XMR rate has strengthened by 3% to $148.44.

The support around $145 has triggered and now Monero is trying to get closer to $150, where a strong resistance zone has been formed.

Last week’s rise in network capacity was accompanied by an increase in social media posts about the Monero blockchain and the XMR altcoin, according to a Santiment report.

The digital currency was falling in price on a wave of hype in social networks, but over the weekend, Internet users have calmed down and the coin returned to the phase of accumulation.

On Monday, the Monero hash rate rose to 2.722 Gh/s, which means miners expect XMR to strengthen in the coming days.