TechFlow news, according to CoinDesk, CryptoQuant's latest analysis shows that the Bitcoin Network Activity Index has dropped to 3,760, down 15% from its all-time high in November 2024 and hitting a one-year low. This index comprehensively measures multiple metrics including the number of active addresses, transaction count, block size, and fees.
Specific data reveals that daily transactions have declined from a peak of 734,000 to 346,000, a drop of 53%. The volume of unconfirmed transactions in Bitcoin's mempool has plunged from 287,000 in December 2024 to just 3,000—nearly a 99% decline—reaching the lowest level since March 2022.
The analysis attributes the decline primarily to reduced usage of Runes Protocol, a new protocol for issuing fungible tokens on the Bitcoin network. This protocol writes token minting and transfer data onto the Bitcoin blockchain via the OP_RETURN opcode. Its average daily usage has fallen from 802,000 in April 2024 to just 10,000 currently.
However, CryptoQuant believes the decline in network activity may not directly impact Bitcoin’s price trend. Data indicates that demand from long-term accumulation addresses (addresses that never spend) has recently increased significantly. Historically, such patterns often precede Bitcoin price increases, reflecting growing market recognition of Bitcoin as an investment asset and store of value.
