Bitcoin’s Key Metric Surges to Highest Level Since November—Is This the Launchpad for a Rally?
Bitcoin’s network activity just flashed its strongest signal in half a year—right as BTC tests critical support levels. Traders are betting this could be the spark that reignites the bull run.
The metric in question? On-chain volume for long-term holders just punched through its 6-month high. These ’diamond hands’ wallets—untouched for 155+ days—are suddenly on the move. Historically, that’s been a reliable precursor to price breakouts.
Meanwhile, institutional players are quietly accumulating. The last time these signals aligned? BTC ripped 40% in three weeks. Of course, Wall Street will claim they saw it coming—right after they finish shorting the market.
Network activity is an important metric that helps determine whether or not the underlying blockchain is being used and to what extent. Although it’s not directly linked to the asset’s price movements, it shows the overall interest in it, and sometimes coincides with said moves.
For instance, the active addresses skyrocketed after the US elections, and BTC’s price followed suit. Contrastingly, the activity levels plunged after Trump’s inauguration, as the Bitcoin network was declared a “ghost town,” and the asset’s price followed suit in the following months, dropping from over $100,000 to under $80,000.
Now, though, Ali Martinez, the popular analyst on X, outlined a substantial uptick in the number of daily active addresses. His chart shows that the usage has shot up to over 925,000 such wallets, which is the highest amount in six months.
925,914 #Bitcoin $BTC addresses were active in the past 24 hours. This is the highest level of network activity in the last six months. pic.twitter.com/fwmkrTrhA2
— Ali (@ali_charts) May 3, 2025
Recall that BTC’s price has already regained over $20,000 since its April 7 and 9 lows of under $75,000. However, it faced rejection at $98,000 yesterday and has fallen by around two grand.
Nevertheless, Martinez brought up another chart, which suggests more price increases are to come for the largest digital asset. The TD Sequential, a metric used to showcase the market’s exhaustion in either direction, has flashed a buy signal on the hourly chart, which is usually a good entry point.
#Bitcoin $BTC may be setting up for a rebound, with the TD Sequential flashing a buy signal on the hourly chart! pic.twitter.com/XccDIHmQ6V
— Ali (@ali_charts) May 3, 2025
