Historically, the price of Bitcoin has been an indicator of the health of the Blockchain, with high activity levels typically associated with strong and positive price movements. However, the largest Crypto Assets market seems to have undergone a significant shift, with prices reacting less and showing lower Chain activity.

For example, despite the continuous decline in blockchain activity, the price of Bitcoin continues to hold above $95,000. A blockchain analysis company has commented on the flagship crypto assets and why there may be potential.

Why is the BTC price not related to on-chain activity?

In a new post on X, the encryption analysis platform shared that the main reason Bitcoin's price remains afloat, despite low trading volume and active addresses, is that the rise in BTC prices is not necessarily related to increased Blockchain usage.

Firstly, Alphractal acknowledges that when the US spot exchange-traded funds (ETFs) are approved in January 2024, the Bitcoin market will experience a dynamic shift. Now, the value of BTC is driven by these financial products rather than the capital inflows from Blockchain activities. #美联储5月利率预测 #五月行情预测