Bitcoin network activity decreases- the effect on the price?
The performance of the slow bitcoin prices was not the only disappointing topic for the largest encryption market so far in 2025. According to the latest data on the series, the basics of the Bitcoin Network have been diminishing since the last quarter of last year.
Bitcoin active headlines and the number of transactions in a decrease?
In a quick post on the Cryptoquant platform, an encryption analyst with a nicer name yonsei_dent Make up How the last price stagnation is associated with the decline in the network activity. One of the relevant chain indicators here is the AA’s AA, which measures the number of portfolio addresses participating in treatment during a specific period.
Usually, the active address scale is used to assess investor morale on a certain Blockchain. According to Yonsi_dent, the number of active headlines on Bitcoin is steadily decreased, indicating “a possible weakness in the investor’s participation.”
In addition, the “death cross” recently formed between the moving average for 30 days (30dma) and its moving average for 365 days (365dma). For the context, the “death cross” in technical analysis indicates a declining signal with a short -term average medium intersection to less than the long -term moving average.
This death indicates that the declining momentum is formed and that the lengthy declining trend (each of the price of activity and the network) may be on the horizon.
Yonsi_dent added:
While the tendencies may fluctuate in a narrow range, 365dma remains in a declining direction, indicating a long slowdown in the network sharing.
Moreover, another metric scale is highlighted by the series by the QuickTake analyst is the number of transactions, which measures the number of unique transactions on the network within a specific period. According to Cryptoquant data, the number of unique transactions on Bitcoin has decreased since Q4 2024.
Yonsi_dent has been associated with this disturbing trend with the universal uncertainty of the macroeconomic economy and increased aversion to the risk that has been afflicted by the market since US President Donald Trump took over the Oval Office.
What is the following for the BTC price?
As it was previously inferred, the declining network activity does not bode completely good to make bitcoin price. Low transaction activity periods often coincide with long side movement and sometimes price corrections.
This trend may explain the performance of the Cryptocurrency Premier coin in 2025. Bitcoin has struggled to maintain any dangerous bullish momentum to pay new levels.
As of the writing of these lines, the price of bitcoin is above 97,700 dollars, which reflects an increase of 0.3 % in the past 24 hours. The weekly registry of the coin is not better, as the market leader has increased by 1 % in the past seven days.