Bitcoin’s recent network behavior may be setting the stage for its next major price shift, according to analyst Axel Adler Jr. from CryptoQuant.
He points to a stabilization in average transfer volumes—a key on-chain metric—as a sign the market is currently in a balanced holding pattern.
After hitting a high of $110,000 earlier this year, Bitcoin’s network activity surged, with average transfer volumes peaking at $67 billion. Since then, the figure has eased to around $58.7 billion, placing it squarely in the middle of a range that has historically signaled market equilibrium.
Adler highlights that since January 2024, network transfer volumes have moved within a band of $40 billion to $80 billion. This range, he argues, now acts as a gauge of network health and investor commitment. Notably, previous spikes toward the $80 billion threshold have aligned with Bitcoin’s major price tops—around $70K and $100K—while dips toward $40 billion have corresponded with temporary slowdowns that were often followed by renewed buying interest.
At present, the network sits in a “balance zone,” reminiscent of mid-2021—a period of consolidation that preceded sharp movements. Adler views this as a sign of market indecision rather than weakness.
He notes that if volume climbs past the $80 billion level again, it could indicate strong capital inflows and renewed bullish momentum. However, a drop below $40 billion would be a more concerning signal, potentially suggesting waning demand and a broader correction in the making.
Adler also reminded followers that he publishes weekly insights covering on-chain trends, macroeconomic developments, futures data, and key headlines—all aimed at helping investors navigate the evolving Bitcoin landscape.
Alexander Stefanov
Reporter at Coindoo
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over 8 years of experience covering the crypto, blockchain and fintech industries, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics.
Source: https://coindoo.com/market/bitcoin-network-activity-signals-calm-before-next-move-says-analyst/