The data on the series shows that the volume of bitcoin transactions has seen a sharp decrease since its highest level in the past year. Here is what this can mean for BTC.
Bitcoin transfers decreased to only $ 11.2 billion
In new mail On X, the analysis company on the Glassnode series spoke about the latest trend in the total bitcoin transfer volume. The “total transfer volume” here refers to a scale that measures the total amount of cryptocurrency (US dollar) that participates in the network transactions every day.
When the value of this indicator is high, this means that investors move in large amounts on Blockchain. This trend indicates that the commercial interest in the original is high.
On the other hand, the decrease in the scale indicates that traders may not pay much attention to the original because they do not participate in many transactions.
Now, here is the graph that has been shared by Glassnode, which shows the trend in the total volume of bitcoin transport over the past two years:
The value of the metric appears to have been climbing in recent days | Source: Glassnode on X
In the graph, the total bitcoin transmission volume of displayed is the “modified edition by the entity”. What this means is that the indicator only tracks the transfers that occur between different entities, not individual titles.
The entity is a group of addresses that the Analysis Company decided to belong to the same investor. It is natural that the transactions between the owner of the same owner are not related to the broader market, so the amendment according to the entities can make the indicator out of more accurate results.
From the graph, it seems clear that the total modified conversion volume, according to the entity, witnessed a sharp rise at the end of last year. This increase in the index came at a time when the cryptocurrency was ever discovered (ATHS), exceeding the brand of $ 100,000.
Investors usually find that such rises are exciting, so it is not surprising that the last two months of 2024 also receive a great deal of attention.
Since ATH reached $ 20.7 billion in December, the scale has seen an extended clouds, which means that the activity may be diminished on the network. Today, the series processes only $ 11.2 billion of the joint size between entities, a decrease of approximately 46 % of the peak.
The activity of transactions by investors is what provides fuel for sustainability of altitudes, and this may be the reason that the slowdown in the price of encoded currency came after the decline in size.
However, while the last size is much lower than ATH, it is actually still very high compared to history. As Glassnode explained in the graph, there were only 67 days at the age of BTC, as the network witnessed more transactions activity.
Bitcoin price
At the time of this report, Bitcoin is circulated by about $ 10,5300, an increase of approximately 3 % in the past seven days.
Looks like the price of the coin has been moving sideways over the last few days | Source: BTCUSDT on TradingView
Distinctive image from Dall-E, Glassnode.com, TradingView.com chart
