On-chain data reveals that the demand for using Bitcoin from retail investors is now neutral and may be on the verge of a resurgence. The analyst in a CryptoQuant Quicktake post explains that the “Retail Investor Demand” indicator, which measures the Bitcoin network activity among the smallest entities, could be heading towards a positive trajectory.
๐ Bitcoin Retail Volume No Longer in Free Fall
The Retail Investor Demand indicator, which tracks the transaction volume of small transfers (less than $10,000 in value), has been on a steady climb since hitting a significant negative level earlier this year. The 30-day change in the Bitcoin Retail Investor Demand is now close to the 0% mark, indicating that the drawdown has almost finished.
The last time the Retail Investor Demand saw a break into the positive territory was just before last year’s rally beyond $100,000. The volume from these investors kept rising until hitting a peak of about +30%, which had interestingly nearly coincided with last year’s price top.
It’s worth noting that during the 2021 bull run, the Retail Investor Demand saw a similar plummet into the negative territory, followed by a sharp surge past the 0% mark and continued growth. This turnaround in retail investor activity coincided with the start of the second half of the 2021 rally.
Will history repeat itself? Only time will tell if the retail volume will make a similar comeback this time, potentially signaling a resurgence of bullish momentum for Bitcoin. ๐
๐ BTC Price Update
Bitcoin has been consolidating in recent days, with its price hovering around the $96,300 level. Will the potential awakening of the retail giant propel the cryptocurrency to new heights? Stay tuned to find out! ๐
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2025-02-14 12:41