Bitcoin (BTC) Breaks Massive Record Since LUNA Fall

Bitcoin has broken a significant record in the face of volatile market conditions. The monthly Bitcoin transfer volume has exceeded the baseline average since Terra’s fall (LUNA).

This important development indicates a resurgence of on-chain activities, indicative of a strengthening of network fundamentals and broader utilization of the system.

Bitcoin is on an upward trend, and recently passed the $30,000 price threshold. The $30,000 level is a psychologically important threshold for traders and investors. If Bitcoin maintains its current level, this could instill renewed confidence and possibly drive the price up.

For the first time, since the LUNA collapse, the #Bitcoin Monthly Transfer Volume has exceeded the yearly averaged base.
This indicates an increase in on-chain activities, which is typical of improved network fundamentals and increasing network utilization. pic.twitter.com/GqzfOpE7DK

Glassnode (@glassnode). June 23, 2023

The outlook for the future is not free of potential pitfalls. The Swissblock Signals, a variety of analytical tools, indicate that support for the $30,000 level may be a bit tenuous, and is not particularly robust.

If Bitcoin’s price falls below this level, then we may see a return to the $27,000 level of support.

This retest will be a crucial moment for the cryptocurrency. If Bitcoin fails to hold the $27,000 level of support, it may fall into a gap in the market characterized by low trading and on-chain volumes. This could lead to a period of bearishness for Bitcoin at least on the short-term.

It is also important to note that metrics on the blockchain, like the Bitcoin transfer volume monthly, show an upward trend. This indicates that the network’s fundamentals are improving.

A rise in on-chain activity can be a bullish signal, as it indicates that more users are using the network and could potentially create upward pressure on prices.

The overall sentiment on the market is the deciding factor.