Bitcoin volume crosses $37.4B, highest in 7 months – Here’s why

• Dormant Bitcoin worth $681M was moved, pushing $37.4B in on-chain volume—the highest in seven months.
• Bitcoin inflows to exchanges rise, suggesting potential selling pressure as BTC stabilized around $61K.

A major Bitcoin [BTC] transaction involving a dormant wallet moved 10,158 BTC, valued at approximately $681 million, into circulation.

This large transfer resulted in $37.4 billion in total on-chain volume, the highest recorded in seven months. 

This activity was identified by Santiment, a blockchain analytics platform, and is raising attention in the market. Historically, the reactivation of stagnant Bitcoin causes upward price movements.

This event underscores a shift in behavior among long-term holders, as a considerable amount of previously inactive BTC has re-entered the market. 

The transaction was also tied to data from Lookonchain, suggesting that it could have a ripple effect in the market.

Surge in on-chain activity

The $37.4 billion in on-chain transaction volume occurred on a single day, marking the largest daily volume since the 12th of March 2024.

This spike was driven largely by dormant Bitcoin being moved into circulation, suggesting that large holders are becoming more active. 

Santiment noted that the “Age Consumed” indicator, which tracks the movement of older BTC that had remained idle for a long time.

The Age Consumed metric saw a sharp rise, signaling that a significant portion of the transaction volume came from older, inactive Bitcoin.

This movement is often interpreted as a sign of renewed activity among whale accounts, with potential future impacts on Bitcoin’s price direction.

Source: X

Bitcoin network metrics show mixed signals

While on-chain volume has spiked, some key metrics for Bitcoin addresses have seen a decline. 

Data from IntoTheBlock revealed a drop in new, active, and zero-balance addresses over the past week.

New addresses decreased by 5.56%, active addresses by 6.54%, and zero-balance addresses by 10.06%, with the total number of active addresses standing at 747.72k as of the 7th of October.

Source: IntoTheBlock

This decline in address activity could indicate short-term cooling in network participation. However, Bitcoin’s price remains relatively strong, with recent market activity showing resilience. 

Possible selling pressure

AMBCrypto’s analysis of Bitcoin spot inflows and outflows showed the movement of more BTC into exchanges. As of the 10th of October, there was a net inflow of $7.35 million. 

Positive inflows typically point to potential selling pressure, as traders transfer Bitcoin to exchanges for possible liquidation.

This minor inflow suggests some traders may be positioning themselves to sell, but it is not large enough to signal a significant market shift.

Source: Coinglass

Read Bitcoin’s [BTC] Price Prediction 2024–2025

Bitcoin’s price stood at $60,947 at press time, showing a slight dip from the previous week.

Despite the inflows, the price has remained relatively stable. So, selling pressure may not be strong enough to cause major downward movement at this point.