The following article is the rework of the thoughts put forward by Mati Greenspan, the Senior Market Analyst at eToro.
Bitcoin has risen above $12500 with much ease as it tested the upper limits of the current range. Nevertheless, the network statistics point otherwise; In fact, the vital stats have been in deep decline ever since the sudden cool off two weeks ago.
The On-chain transaction volume in Bitcoin, i.e., the amount of money flowing through the main chain has dropped sharply since the recent peak. It is now estimated that the total daily amount transferred via bitcoin is below $1.4 billion again. This was the on-chain volume during the second week of June when Bitcoin hadn’t broken above $10000 yet.
Bitcoin On-Chain Transaction Volume in USD (Source)
The volume on top crypto Exchanges is also down more than 50% from the high during June.
Public interest in the search term ‘bitcoin’ has also fallen significantly since June 26th, as is indicated by Google Trends data.
Google Trends for Bitcoin in the Last 30 Days (Source)
The only two positive indicators at the moment are Bitcoin transactions per second which are still above 4 TPS and the rising peer-to-peer interest on Local Bitcoins.
Of course, if we do see a fresh high above $14,000, there’s no doubt all three of the above data points will turn into lagging indicators.
eToro Provides an Opportunity to Invest in Libra
Even though Libra was proposed as a pseudo-stablecoin, I can’t tell you how many people have approached me on social media stating their intention to invest in it.