Bitcoin Momentum Indicator: Why 600,000 Transactions Threshold Matters Most
As Bitcoin (BTC) continues to commerce within the low $110,000 vary, a key on-chain indicator has flipped bullish, present indicators of an upcoming value rally that might propel the highest digital asset to new all-time highs (ATH) within the close to time period.
Bitcoin’s 600,000 Transactions Threshold Takes Center Stage
According to a CryptoQuant Quicktake put up by contributor Ibrahim Cosar, an essential correlation between BTC value and the overall variety of transactions over time stands out.
The analyst shared the next chart to focus on the connection between Bitcoin’s value and the overall variety of transactions. Notably, at any time when the overall transaction depend surges above the 600,000 degree – and even approaches it – BTC’s value tends to provoke an upward transfer.
The above chart reveals three earlier situations in 2025 when BTC’s complete transaction depend climbed past 600,000, with an ensuing value appreciation. In May, there was a pointy value improve shortly following Bitcoin’s transaction depend soar.
Similar mixtures of transaction depend improve and value motion surge have been witnessed in August and early September. The CryptoQuant analyst remarked that this sample has grow to be significantly evident since This fall 2024. Cosar added:
I’ve been finding out on-chain knowledge for a very long time, but it surely’s uncommon to see such a transparent sample. The 600K transaction threshold appears to behave virtually like a sign that triggers Bitcoin’s “value engine.” This is my private discovery, and the chart confirms it fairly clearly.
The analyst said that rising transaction exercise on the community is a number one indicator of Bitcoin’s underlying utilization and demand. As the variety of transactions on the Bitcoin community rises, the community turns into extra vibrant and energetic.
The rising utilization of the Bitcoin community creates a pure shopping for strain on Bitcoin’s value, including gas to the cryptocurrency’s bullish momentum. According to Cosar, the 600,000 transaction degree is an “exercise explosion” threshold that results in a “value explosion.”
That stated, the analyst cautioned that no single issue can fully affect BTC’s value, as it’s depending on a mixture of numerous components, together with macroeconomic backdrop, rules, and buying and selling exercise.
Still, the importance of an on-chain indicator with such a robust correlation with BTC’s value shouldn’t be ignored. If the overall transaction depend rises previous the 600,000 degree once more, count on BTC to hit a brand new document high.
Will BTC Fall Below $100,000?
Bitcoin’s incapability to decisively break by way of its present ATH of $124,128, recorded on August 14, has bulls anxious in regards to the digital asset’s fading momentum. The cryptocurrency is presently at its most oversold degree since April 2025.
From a technical standpoint, BTC has fashioned a bearish night star sample on the weekly chart, elevating the chances of a value dip beneath $100,000. At press time, BTC trades at $114,117, up 3.8% up to now 24 hours.
