Onchain Highlights
DEFINITION: Breakdown of entity-adjusted relative on-chain volume by dollar value of transfers.
The relative volume of Bitcoin transfers, when adjusted for entity and categorized by transfer size, shows nuanced trends across different transaction bands. In January 2024, transfers under $1,000 made up a small portion of overall activity. Notably, transactions between $1,000 and $10,000 saw a slight increase, reflecting increased retail participation.
Larger transfers, between $10,000 and $100,000 and between $100,000 and $1 million, showed an increase, remaining around 20-30% of the total volume, suggesting an increase in institutional activity. For its part, the section between 1 million and 10 million dollars also showed growth, while transfers greater than 10 million dollars decreased.
Between mid-January and April, volume over $10 million saw a resurgence before falling and bottoming out in May.
The levels of the largest transfers rose again at the end of May and have stabilised since then. Other tranches moved relatively flat, with the exception of transfers of less than $100,000, which remained stable.
Compared to historical data since 2017, the past year has seen a reduction in the dominance of smaller transactions, replaced by mid-size volumes, especially those over $100,000. This shift highlights a maturation in Bitcoinโs user base, with an increasing reliance on large transactions, potentially aligning with post-halving market conditions and a maturing institutional footprint.
