On-chain demand remained weak throughout the decline, according to Glassnode data. The number of active addresses, a rough measure of how many users are actually transacting, is around 618,000, in the middle of its recent range rather than exceeding.
The value of coins circulating through the network stood at nearly $4.2 billion, just above the low end of its range of around $3.6 billion, indicating moderate rather than rising activity, the company said in a Monday report.
Total transaction fees, or what users pay to move funds and competition for space in each block, have continued to contract. Together, the three say demand has not recovered, even with lower prices.
Adding to the caution, Strategy, Bitcoin’s largest holding company, said Monday it could sell more than $1 billion worth of the token as part of a new program to shore up its finances, a reversal of founder Michael Saylor’s long-standing sales refusal.
The prospect of these sales weighs on an already restricted market. That leaves the crypto where it has been trading for weeks, stuck by a strong dollar and a lack of new demand rather than a single shock.
The next tests will be whether the dollar’s rise will stop and whether the yen’s fall will force Japan to intervene, a move that some say could curb cheap yen borrowing long used to finance risky deals around the world.
