OnChain analyst Axel Adler stated that Bitcoin (BTC) has not yet reached its peak demand level, mainly due to weaker interest from new investors compared to the previous bull market period.
The expert suggests that new investors may enter the market at a later stage, a viewpoint supported by the metric “Bitcoin’s old and new supply ratio.”
Current data shows that BTC is still far from high demand zones, indicating potential price increases in the medium and long term.
When writing this article, Bitcoin is trading at $64,319, marking a decline of nearly 3% in the last week. Active addresses of existing users have increased by 6% in the past week.
On the other hand, new addresses representing first-time transactions showed minimal changes, reflecting Adler’s observation of weak activity from new investors, which could negatively impact future price trends.
Analysis of the “Mean Coin Average” (MCA) indicator shows the average age (time since their last transfer) of all coins based on the average purchase price. When the indicator rises, it means that old coins are moving into new wallets. In most cases, this means long-term holders are selling. However, when MCA decreases, it means that coin holders do not want to sell. At the time of the article, Bitcoin’s 90-day MCA is still continuing its upward trend since June 1. If this trend does not change, the price of the leading cryptocurrency may decline, and the forecast of $61,000 could become a reality.
From a technical standpoint, the Relative Strength Index (RSI) on the 4-hour chart shows that Bitcoin’s market momentum is declining and approaching oversold territory.
In summary, while demand for Bitcoin remains weak in the short term, potential indicators such as active addresses and MCA provide an idea of possible future price movements depending on market dynamics and investor sentiment.