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Bitcoin On-Chain Activity Slumps Below 365-Day Average – Is Momentum Losing Steam?
Bitcoin's on-chain network usage has notably declined throughout most of 2025. The Network Activity Index, tracking on-chain interactions, is consistently below its 365-day moving average. This slowdown suggests a decrease in organic Bitcoin usage and adoption. While the price has remained relatively stable between $100,000 and $120,000, on-chain traffic has dwindled. Capital is predominantly circulating off-chain through ETFs and custodianships. The analyst suggests that the current market momentum is unsustainable "running on fumes." The stagnating network usage while prices rise indicates valuations detached from adoption. Despite this, some analysts maintain bullish outlooks for Bitcoin. Several experts predict new record highs for Bitcoin in the final quarter of 2025. Predicted targets range from $130,000 to as high as $180,000. Bitcoin currently trades around $114,076, a slight increase in the last 24 hours.
