[Analysis] "Bitcoin On-Chain Transaction Count Plummets… Whale Activity on the Rise"

As on-chain activity for Bitcoin (BTC) has significantly declined, there is analysis suggesting that large holders (whales) are increasingly dominating the network.

On the 20th (local time), cryptocurrency industry media The Block reported, citing on-chain analytics provider Glassnode, that "the number of daily transactions on the Bitcoin network has recently dropped to 320,000–500,000, approaching the lowest levels since October 2023."

Glassnode stated, "While the average number of transactions has decreased, the transaction volume has increased significantly," adding, "Large-scale fund movements led by institutions and high-net-worth individuals are standing out on Bitcoin's base layer." According to Glassnode, large transactions exceeding $100,000 have accounted for 89% of the total transaction volume.

The Block added, "The launch of spot Bitcoin ETFs and the expansion of the derivatives market are weakening on-chain activity to almost 'ghost town' levels," and remarked, "This contrasts starkly with what we saw in previous bull markets."