- BTC is defying old patterns — holding above $95K even as blockchain activity, like transactions and active addresses, stays low.
- Why? It’s all about ETFs and big money. Since U.S. spot Bitcoin ETFs launched in early 2024, traditional capital inflows—not network usage—are driving the price.
- Speculators, not users, are fueling this. Alphractal analysts say low volatility, artificial exchange volumes, and cautious investor sentiment are keeping BTC afloat while real on-chain demand stays soft.
Bitcoin’s price has long been seen as a sign of blockchain health—typically, more network activity means stronger price action. But lately? That connection seems to be breaking. BTC is holding steady above $95K and flirting with $100K again… even though on-chain stats are kinda slumping.
So what’s going on here?
Price Holding Up, But Network Activity? Not So Much
According to the folks over at Alphractal (a crypto analytics shop), the Bitcoin price is no longer tightly tied to how much action is happening on-chain. In a post on X, they laid out a few reasons for this disconnect—and honestly, it makes a lot of sense.
Let’s start with the ETFs. Since spot Bitcoin ETFs were greenlit back in January 2024, there’s been a big shift. Capital is flowing in through traditional finance channels now, not just from crypto-native traders. That means the BTC price is being driven more by these inflows than by how many people are actually using the blockchain day-to-day.
Traders Are Quiet. That’s Part of It Too.
Alphractal also pointed out that the market’s been super chill lately. Like, very little volatility. And when price movements flatten out, traders get bored—or cautious—and don’t open new positions. That translates into fewer transactions and less active addresses.
Oh, and don’t forget the speculators. A good chunk of the current price action is coming from derivatives markets, not people actually sending Bitcoin around. That’s good for price stability, maybe, but not so great for on-chain growth.
Fake Volume, Real Prices?
Here’s where it gets interesting. Alphractal hinted that some of the trading volume we’re seeing might not be entirely… real. Yeah, there could be artificial volume on certain exchanges that makes things look more active than they actually are. That gives off a “BTC is booming” vibe, while in reality, network usage is just kinda cruising.
And of course, macro stuff is still in the background. Investors are watching the global economy, waiting for more solid bullish signs before diving back in. So the price might be up, but it’s being held there by a different kind of investor now.
BTC Quick Stats
Right now, Bitcoin’s hanging around $96,150—a tiny dip (about 1%) over the last 24 hours, per CoinGecko. But zoom out a bit and it’s still up around 2% for the week. So… not too shabby, considering the weekend chop.
