Bitcoin Activity Plummets: New & Active Addresses Both Down 40%+ Since 2021

Bitcoin on-chain knowledge reveals each the Daily Active Addresses and Network Growth indicators have seen sharp drops in comparison with 5 years in the past.

Wallet-Related Bitcoin Metrics Have Declined In Recent Years

As highlighted by on-chain analytics agency Santiment in an X post, there’s a staggering distinction between the extent of exercise on the Bitcoin community right this moment and February 2021.

There are a number of on-chain metrics that can be utilized to gauge blockchain exercise, however two specifically are of focus right here: the Daily Active Addresses and Network Growth.

The first of those measures the entire variety of BTC addresses which might be coming on-line day-after-day. A pockets is alleged to return ‘on-line’ when it participates in some sort of transaction exercise on the community. Thus, the Daily Active Addresses primarily tracks the distinctive each day depend of addresses making no less than one switch on the community.

The different indicator, the Network Growth, tells us in regards to the quantity of addresses which might be coming on-line on the blockchain for the primary time. In different phrases, it tracks the quantity of latest addresses becoming a member of the community day-after-day.

Now, right here is the chart shared by Santiment that reveals the pattern within the Daily Active Addresses and Network Growth for Bitcoin during the last a number of years:

As displayed within the above graph, each the Bitcoin Daily Active Addresses and Network Growth witnessed a big drop firstly of 2024. The former made some restoration because the cryptocurrency noticed its bull rally within the second half of the yr, however the latter nonetheless remained at comparatively low ranges regardless of a leap.

In 2025, each indicators once more slumped and took to sideways motion, even though Bitcoin explored recent highs. Santiment famous that “there was a transparent bearish divergence that had been forming all through 2025 as market caps continued to hit new heights whereas Bitcoin’s utility declined.”

During the current market downturn, the symptoms have gone a notch decrease. Currently, there are 650,000 distinctive addresses interacting on the blockchain per day, which is down 42% in comparison with February 2021, 5 years in the past. Similarly, the Network Growth is sitting at a worth of 291,000, reflecting a 47% drop for a similar window.

So, what does the sharp drop in exercise imply for Bitcoin? According to the analytics agency, it doesn’t suggest that “crypto is useless” or that the digital asset is coming into a multi-year bear market. That stated, the return of bullish winds might nonetheless depend upon the pattern within the community metrics. As Santiment defined:

A justification for crypto starting to see a real long-term reduction rally might be when metrics like energetic addresses and community progress start to rise.

BTC Price

Bitcoin continues to maneuver sideways as its value trades across the $66,400 stage.