According to Glassnode data, Bitcoin's transaction fees have dropped to 3.5 BTC, the lowest level since late 2011. This decline may indicate decreased demand.
Bitcoin Transaction Fees at a Low
According to Glassnode, daily transaction fees on the Bitcoin network (14-day SMA) have recently fallen to 3.5 BTC. This is the lowest level since late 2011, suggesting a lack of demand and a possible further price drop.
Next Support Level for Bitcoin
The next logical support test for Bitcoin may occur at the 100 EMA, located in the $111,000-$112,000 range. If this level fails to hold, it could lead to more significant downturns in the market. Currently, there are concerns about buyer weakness amid increasing selling pressure.
Shift from Correction to Bear Market
With the current market momentum cooling and the Relative Strength Index (RSI) declining, there is a possibility that the correction may continue. A drop towards the 100 EMA could undermine market confidence, leading to broader weakness among altcoins. Market players will closely monitor the situation, as the $111,000 zone will become critical for overall market health.
Bitcoin is currently at a pivotal point in its history, and further declines may signal a long corrective phase.
