Definition:
New addresses refers to the number of unique digital wallets or addresses that have been created on a blockchain network in a specific period of time (usually measured daily).
For example: On January 1st 2023, approximately 331,000 unique digital wallets or new addresses were created on the Bitcoin blockchain network.
In the photo below, you can see the number of new Bitcoin addresses since 2011. One can note that when new daily addresses peak, it marks a near market top.

What to watch for:
Adoption: Studying new addresses in the crypto market can provide insight into the rate at which new users are entering the space and adopting a particular cryptocurrency. An increase in new addresses suggests that more people are entering the space and engaging with a particular cryptocurrency, which can indicate increased demand and potential for growth.
Decentralization: Tracking new addresses can also give some insight into the level of decentralization of a network. If most of the new addresses are controlled by a small group of entities, it may indicate a higher level of centralization, which can be seen as a risk for the network's security and stability in the long run.
Market Peaks: A surge in the number of new addresses may indicate a high influx of new investors entering the market, which could potentially be a signal of a market peak. When the number of new addresses reaches a new all time high or local peak, it tends to coincide with a price peak for the corresponding asset.
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