Historically, the price of Bitcoins is a blockchain health indicator, and high activity often correlates with a powerful and positive price. However, it seems that the largest cryptocurrency market has witnessed a significant change, and prices are now less reacted to changes in the chain.

For example, the price of Bitcoins still maintains above USD 95,000 and looks like recovering USD 100,000 despite a lasting decrease in blockchain activity. The analytical company in the chain considered how and why it is possible for the flagship cryptocurrency.

Why the BTC price is less correlated with chain activity

Alpharats cryptocurrency platform common In the recent post for X, the most vital reasons why the price of Bitcoins managed to stay on the surface despite the size of transactions and dynamic addresses at a low level. According to the company, BTC price increases do not necessarily correlate with increased employ of blockchain.

First of all, the alpraft admitted that the Bitcoin market has experienced a lively change when American current funds (ETF) were approved in January 2024. The BTC value is currently driven by the influx of capital by these financial products, not blockchain activity.

Source: @Alphractal on X

The company in the chain also mentioned that historically low variability on the market had a significant role in the low activity of the Bitcoin network. With relatively low price movement, traders are less encouraged to take recent items, which leads to lower chain activity.

In addition, the Alpracktal mentioned that the price of Bitcoins was maintained mainly by the activities of speculatry traders through derivatives and other financial instruments. As a result, there was a reduced daily adoption and narrow practical demand for the Bitcoin network.

The alpraction also referred to macroeconomic uncertainty, which in recent weeks wanted global financial markets. According to an analytical company in the chain, this state of the market, although improvement, most investors are waiting for clearer signals stubborn before making any movement.

Finally, the alpraktal emphasized the artificial stock exchange among the main reasons why the Bitcoin price remained on the surface. “Some volumes of exchange may be overstated, creating a confusing sense of activity, while the real use of the network remains modest,” added the platform on the chain.

Bitcoin price at first glance

From this letter, the price of BTC is about USD 96 150, which reflects the decrease by over 1% in the last 24 hours. Despite the uncertain price campaign this weekend, the most vital cryptocurrency is still increasing by almost 2% at a weekly time, according to Coingecko data.

The price of BTC on the daily timeframe | Source: BTCUSDT chart on TradingView

Recommended photo from Istock, chart from TradingView

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