Bitcoin's price hovers near $94,500 as concerns rise over decreasing network activity in the cryptocurrency market.
Why is Bitcoin Network Activity Falling?
The Bitcoin network is experiencing the largest downturn since November 2024, with active addresses falling to 667,100. This decrease indicates reduced user interaction, worrying traders about potential price implications.
Could Bitcoin Price See a Major Correction?
Many market participants anticipate Bitcoin's price could drop below $90,000, projecting a correction between 10% to 20%. The current weakness in on-chain indicators raises the likelihood of this correction before the expected bull market in 2025. Key insights include: - Critical support for Bitcoin at $92,000, with risk of falling to $70,000 if breached. - Resistance levels between $97,000 and $99,500 could significantly impact Bitcoin’s price trajectory.
Impact of Macroeconomic Factors
Macroeconomic factors, including U.S. employment data, are affecting market dynamics. The current trading price of Bitcoin is $94,178, with a market capitalization of $1.864 trillion. Upcoming inflation data will be pivotal in determining Bitcoin's future volatility.
Market expectations and macroeconomic conditions significantly impact Bitcoin's future movement, highlighting the importance of upcoming data releases.
