Active Addresses refer to the number of unique addresses showing significant activity on the BTC on-chain network. This allows you to see the activity of the BTC network, investor participation, and market trends.
You can check market momentum by applying the 🔴monthly moving average line and 🔵annual moving average line to the indicators. Since the two bands deadcrossed at the end of March, the market has repeatedly moved sideways and corrected, and 30DMA has continued to decline so far. Although the BTC price has recovered significantly, the indicators still do not show any improvement. The number of transactions was the highest in this cycle between March and July but is decreasing again.
📌If active addresses increase again and the number of transactions also shows an increase, the market can be seen to be active again. If the price continues to rise, it is necessary to check whether the on-chain indicators above are positive.
Written by Yonsei_dent
