search
Homeweb3.0Bitcoin (BTC) Transfer Volume Has Been Losing Momentum, A Sign That May Not Be Positive

A report from Glassnode has revealed that the Bitcoin transfer volume has been losing momentum recently, a sign that may not be positive for BTC.

Bitcoin (BTC) Transfer Volume Has Been Losing Momentum, A Sign That May Not Be Positive

A recent report from Glassnode has shown that the Bitcoin transfer volume has been losing momentum, which could be a negative sign for BTC. Both the Entity-Adjusted Transfer Volume and the Combined Exchange Inflow/Outflow Volume have seen a decline.

Bitcoin Transaction Volume & Exchange Volume Are Both Down

In the latest weekly report from Glassnode, the Entity-Adjusted Transfer Volume has taken a hit recently. The “Transfer Volume” is a metric that tracks the total amount of Bitcoin volume getting involved in blockchain transactions.

The Entity-Adjusted version of this indicator filters the total volume to only represent the transfers between different entities. An “entity” here refers to a cluster of addresses that Glassnode has determined to belong to the same investor through its analysis.

Transactions between the wallets of the same holder aren’t relevant to the greater market, so the Entity-Adjusted version, which filters out such transfers, can represent the true volume getting involved in trading.

Below is the chart cited by the analytics firm in the report, which shows the trend in the Entity-Adjusted Volume and its 30-day and 365-day moving averages (MAs) over the past few years.

As can be seen in the graph, the Bitcoin Entity-Adjusted Transfer Volume currently has a value of around $6.2 billion daily. This isn’t a low value, but what may be worth noting is the trajectory that the indicator has been following recently.

From the 30-day MA, it’s visible that the network volume has been dropping for a while now, with it even just falling below the 365-day MA recently. “Generally speaking, this is a net negative observation,” Glassnode notes.

Earlier in the year, the monthly average volume had gained a large distance over the yearly average, caused by the spike in interest surrounding the cryptocurrency as its price had marched on to a new all-time high (ATH).

The decline in the volume that has followed since then may be due to the lackluster price action that Bitcoin has been showing, as investors tend to find such periods boring.

This boredom is also visible through another indicator related to BTC trading: the Combined Exchange Inflow/Outflow Volume. As its name implies, this metric measures the total amount of Bitcoin flowing in and out of the wallets associated with centralized exchanges.

The graph shows that Bitcoin’s combined exchange inflow/outflow volume has recently seen a similar trend to the transfer volume. The crossover is even at a more advanced stage in the case of this metric, with the 30-day MA now being well below the 365-day MA.

“This underscores a decline in investor demand and less trading by speculators within the current price range,” reads the report.

BTC Price

Bitcoin had seen a plunge towards $55,500 earlier in the day, but the decline was only short-lived as the coin has bounced back to $56,700.

The above is the detailed content of Bitcoin (BTC) Transfer Volume Has Been Losing Momentum, A Sign That May Not Be Positive. For more information, please follow other related articles on the PHP Chinese website!

Statement
The content of this article is voluntarily contributed by netizens, and the copyright belongs to the original author. This site does not assume corresponding legal responsibility. If you find any content suspected of plagiarism or infringement, please contact admin@php.cn
Tether's Gold-Backed Crypto XAUT Hits Record High Amid Investor SurgeTether's Gold-Backed Crypto XAUT Hits Record High Amid Investor SurgeApr 29, 2025 am 11:26 AM

Tether's gold-backed token, XAUT, has released its first official attestation, confirming it is backed by over 246500 ounces of gold

Sens. Adam Schiff and Elizabeth Warren Demand Investigation into Trump's Meme Coin DinnerSens. Adam Schiff and Elizabeth Warren Demand Investigation into Trump's Meme Coin DinnerApr 29, 2025 am 11:24 AM

Sens. Adam Schiff (D-CA) and Elizabeth Warren (D-MA) said the dinner proved Trump may be engaging in “pay-to-play corruption.”

BlockDAG (BDAG) Raises Over $219.5M, Prepares for ETHPanama and Events in SingaporeBlockDAG (BDAG) Raises Over $219.5M, Prepares for ETHPanama and Events in SingaporeApr 29, 2025 am 11:22 AM

Crypto discussions are heating up again with Dogecoin (DOGE), Binance Coin (BNB), and BlockDAG (BDAG) taking different paths. The DOGE price is stuck just under $0.17

MANTRA Burns 150 Million OM Tokens to Boost StabilityMANTRA Burns 150 Million OM Tokens to Boost StabilityApr 29, 2025 am 11:20 AM

After facing a tough month with a 90% price dip, MANTRA has moved to stabilize its economy by initiating a major token burn.

Meme Coin FloppyPepe (FPPE) Could See a Jaw-Dropping 7,400% SurgeMeme Coin FloppyPepe (FPPE) Could See a Jaw-Dropping 7,400% SurgeApr 29, 2025 am 11:18 AM

In the ever-changing world of cryptocurrency, investors are constantly on the lookout for the next big opportunity. While XRP has long been a favorite

title: Tether Reveals It Holds $770M in Gold Bullion Backing Its XAUT Stablecointitle: Tether Reveals It Holds $770M in Gold Bullion Backing Its XAUT StablecoinApr 29, 2025 am 11:16 AM

Tether, the company behind several leading cryptocurrency stablecoins, including USDT, announced Wednesday that it holds $770 million in physical gold bullion reserves backing its Tether Gold (XAUT) stablecoin.

Baby BoomersBaby BoomersApr 29, 2025 am 11:14 AM

se Launches Bitcoin Yield Fund (CBYF) Targeting Baby Boomers

Three very different projects are making headlines, but only one is rewriting the rules of how Web3 should work.Three very different projects are making headlines, but only one is rewriting the rules of how Web3 should work.Apr 29, 2025 am 11:12 AM

Toncoin gained 4% after Telegram founder Pavel Durov's return and a $400 million funding wave for TON's ecosystem.

Hot AI Tools

Undresser.AI Undress

Undresser.AI Undress

AI-powered app for creating realistic nude photos

AI Clothes Remover

AI Clothes Remover

Online AI tool for removing clothes from photos.

Undress AI Tool

Undress AI Tool

Undress images for free

Clothoff.io

Clothoff.io

AI clothes remover

Video Face Swap

Video Face Swap

Swap faces in any video effortlessly with our completely free AI face swap tool!

Hot Tools

VSCode Windows 64-bit Download

VSCode Windows 64-bit Download

A free and powerful IDE editor launched by Microsoft

Dreamweaver CS6

Dreamweaver CS6

Visual web development tools

Dreamweaver Mac version

Dreamweaver Mac version

Visual web development tools

SublimeText3 Mac version

SublimeText3 Mac version

God-level code editing software (SublimeText3)

WebStorm Mac version

WebStorm Mac version

Useful JavaScript development tools