Bitcoin is currently going through a critical phase. Five years after the euphoric peak of 2021, onchain data reveals a clear slowdown. Behind the stabilization of the price, the dynamics of the crypto network raise questions. More details below!
In brief
- Bitcoin network activity has fallen sharply since 2021, weakening the dynamics of the crypto market.
- The price of BTC is advancing without clear support from real, measurable adoption.
Bitcoin: a 42% drop in active addresses since 2021
The figures published by Santiment provide a clear observation on the network's activity: the Bitcoin loses intensity.
- Active unique addresses have fallen by 42% since February 2021.
- The creation of new addresses fell by 47% over the same period.
During the previous bull cycle, the expansion of Bitcoin was based on an explosion of participation. Each acceleration phase was accompanied by an influx of users and an increase in transactions.
Today, the picture is changing. Activity slows as capitalization attempts to approach new highs in 2025. This lag creates a divide between valuation and real use of the crypto network.
For bitcoin, adoption remains the primary fuel. Without growth in active addresses, the market structure therefore loses depth.
Bearish divergence: BTC price advances without network support
L'indicator Long-Term Holder Net Unrealized Profit and Loss (NUPL) stands at 0.36. This means that long-term holders retain unrealized profits. The general feeling confirms this fragility. The Crypto Fear & Greed Index remains stuck in extreme fear zone, despite a rebound from February lows near $60,000.
At the time of analysis, bitcoin is trading around $64,401. The flagship crypto asset therefore still accuses a drop of around 24% since the start of the year.
A return to the $72,000 to $76,000 zone could attract buyers. Without a clear recovery in active addresses and network growth, this movement would, however, risk trapping the market in a bull trap.
Thus, the crypto market may be entering a phase of natural selection. Future cycles could reward networks that can demonstrate real utility, beyond speculation. For Bitcoin, the next impulse will undoubtedly come less from trading than from concrete and measurable adoption.
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