- The daily address additions to the Bitcoin network dropped to 275,000 last week.
- Hash rate, a key indicator of miner revenue, has also dropped to record lows.
The average weekly number of new Bitcoin addresses approached its greatest levels since its all-time high in December 2017, six months ago, due to enthusiasm over spot Bitcoin ETFs, innovations in the Bitcoin ecosystem like Ordinals, and the imminent halving.
The enthusiasm around new Bitcoin projects has waned, and the number of addresses entering the network has plummeted six months later, similar to early 2018. The Block reports that daily address additions to the Bitcoin network dropped to 275,000 last week, down from 625,000 six months earlier.
Hash rate, a key indicator of miner revenue, has also dropped to record lows, along with other related indicators. Not only that, but on-chain volume indicators and network transaction fees have also gone down.
The Block recently stated that, despite a decline in on-chain metrics, innovative protocols on the Bitcoin network are drawing record attention from venture capital companies, which might pave the way for a future recovery.
Bulls in Control
Surprising many investors, Bitcoin bulls staged a return this week after bearish swings since the beginning of the month. Bitcoin reached a new five-week high of $67,700 yesterday. It jumped 10.33% in the last week and 4% in the last month as per data from CMC.
The recent increase in Bitcoin’s price was set off by positive ETF flows and fresh CPI data. Another element is the recent uptick in interest from major corporations in Bitcoin exchange-traded funds (ETFs). Concerns about price drops post the halving event that took place in April are fading.
Additionally, whale behavior has been a factor. Amidst the recent price gain of the cryptocurrency, sources indicate that Bitcoin whales are engaging in considerable activity, suggesting a jump in accumulation.
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