Bitcoin is currently at a critical juncture, experiencing a historic decline in activity. It is facing potential volatility due to Ethereum ETFs and a fragmented altcoin market. Here are the key insights:
Price and Activity: Bitcoin's price is at a pivotal level with unclear direction, and its on-chain activity has dropped to a 6-year low.
Active Addresses: The percentage of active Bitcoin addresses has fallen to 1.22%, the lowest since 2018.
Altcoin Impact: The decline may be attributed to "altcoin dispersion," with a surge in new memecoins diluting the market.
Support Levels: Bitcoin might test support levels at $59,884 and $52,948, potentially presenting prime buying opportunities.
Ethereum ETFs: The upcoming Ethereum ETF launches could introduce a wave of volatility to Bitcoin.