- In spite of the recent fluctuations, the price of Bitcoin is currently at $61,152.80, with weekly drops of notable proportion and little increases.
- With transaction volume and active addresses reaching all-time lows, on-chain activity for Bitcoin has sharply declined.
Bitcoin (BTC) continues to be a pivotal figure in the very volatile world of cryptocurrencies, riding up and down with the same erratic zeal.
According to CoinMarketCap, the BTC price is currently trading at $61,152.80, having slightly increased over the previous day by 0.51%. The leading cryptocurrency has dropped 4.01% over the last week.
There have been subsequent price movements since Bitcoin’s all-time high in mid-March, which came after a period of consolidation. Slow moves and a concerning decline below the crucial $60,000 support level have defined this period, raising concerns among investors and market observers alike.
Blockchain’s Slowing Down
Renowned data analytics company Santiment offers more details on Bitcoin’s current situation. Their investigation reveals a notable decline in on-chain activity on the network.
📉 #Bitcoin's #onchain activity is approaching historic lows as traders have dramatically slowed transactions in the 2 months since its #alltimehigh. This isn't necessarily a sign of more $BTC dips, but rather a signal of crowd fear and indecision. https://t.co/Tg5TpnVv4D pic.twitter.com/ldtv3FPVxA
— Santiment (@santimentfeed) May 11, 2024
Included in this are important indicators like whale transactions, daily active addresses, and transaction volume, all of which have fallen to historic lows.
Specifically, the number of transactions on the Bitcoin network has decreased to the lowest level in the last ten years. Whale activity, or transactions over $100,000, is at an all-time low, with the number of daily active addresses at a level not seen since late 2018.
Wells Fargo’s Crypto Moves
On the other hand, Wells Fargo—the third-biggest bank in the United States—has disclosed that it has a significant stake in the cryptocurrency space via Bitcoin Exchange-Traded Funds (ETFs).
🚨 BREAKING 🚨
WELLS FARGO, AMERICA'S THIRD
LARGEST BANK NOW OWNS SPOT #BITCOIN ETFsBANKS ARE IN FOMO 🔥 pic.twitter.com/sTGQN4Be9V
— Ash Crypto (@Ashcryptoreal) May 10, 2024
This action by a major financial institution highlights how cryptocurrencies are becoming more widely accepted and integrated into established financial systems, potentially indicating a bigger trend toward digital assets.
Santiment warns against seeing these dips as direct signs of future price declines, even in spite of the reduced on-chain activity. Rather than being a sign of a clear recession, the slowdown may be the result of “crowd fear and indecision.”
Prior to that, Bitcoin whales moved aggressively, injecting $941 million into the market to buy BTC, according to previous ETHNews reports.