Similar to its price correction, the Bitcoin (BTC) network activity is also hitting multi-year lows amid the latest crypto winter. According to Glassnode’s on-chain data, the total number of exchange deposits (7-day moving average) on 12 July reached 2,013, the lowest level since July 2020.
After touching the level of almost 5,100 in May 2021, the total number of BTC exchange deposits plunged by more than 60% in approximately 14 months. During the latest crypto winter, Bitcoin has lost more than 70% of its value.
On 13 July 2022, the realized market cap of the world’s largest cryptocurrency reached $421 billion, the lowest level in 8 months. The total number of active Bitcoin addresses also plunged in the recent market correction.
Retail and institutional interest in BTC and other crypto assets have decreased in the past few months. According to the weekly digital asset fund flows report published by CoinShares, Bitcoin investment products witnessed outflows worth $1.7 million last week. The total value of global BTC assets under management now stands at $24.6 billion, down from almost $50 billion in November 2021.
Bitcoin Supply in Losses
BTC failed to jump above the price level of $20,000 on Wednesday. Amid Bitcoin’s bearish price movements since November 2021, a large percentage of short-term and long-term supply is now facing huge unrealized losses.
“The present market structure has many hallmarks of the later stage of a bear market, where the highest conviction cohorts, the long-term holders and the miners, are under remarkable pressure to surrender. The volume of supply at a loss has now reached 44.7%, of which a majority is carried by the Long-Term Holder cohort. However, this remains at a less severe level compared to previous bear cycles,” Glassnode highlighted in its weekly on-chain analysis report.
Similar to its price correction, the Bitcoin (BTC) network activity is also hitting multi-year lows amid the latest crypto winter. According to Glassnode’s on-chain data, the total number of exchange deposits (7-day moving average) on 12 July reached 2,013, the lowest level since July 2020.
After touching the level of almost 5,100 in May 2021, the total number of BTC exchange deposits plunged by more than 60% in approximately 14 months. During the latest
