Bitcoin network activity has significantly rebounded, with daily trading volume reaching the highest level since November 2024

According to CryptoQuant data, the current daily Bitcoin trading volume is approximately 615k transactions, the highest since November 2024. Meanwhile, Bitcoin's price remains fluctuating around $68.9k on the chart.

However, it is worth noting that this increase in trading volume is not simply due to higher user activity; it is also accompanied by a clear change in the usage structure of address types.

Data shows that between March 1 and April 1, the distribution of Bitcoin address types experienced a significant shift: P2WPKH (a native SegWit address) increased from 62.21% to 71.64%, a rise of 9.43 percentage points;

while P2TR (Taproot addresses, supporting more complex scripts) decreased from 20.79% to 12.86%, a drop of 7.53 percentage points; other types such as P2SH also saw slight declines.

This indicates that users and institutions are migrating from newer address formats to more traditional or more efficient types, possibly related to transaction costs, wallet strategies, or compliance operations.

Another key context is that, despite Bitcoin's price remaining relatively high, total transaction fees have not surged accordingly and remain relatively low.

The low-fee environment allows exchanges, custodians, and large holders to perform UTXO consolidation, wallet rebalancing, and on-chain fund redistribution at lower costs;

Therefore, the current surge in trading volume may not be entirely driven by natural new user demand, but rather by internal operational activities of institutions or platforms.

In summary, Bitcoin's recent network activity has increased, with trading volume reaching a new high in over a year and a half, but this activity is accompanied by a significant structural adjustment, indicating an uneven market distribution.

Moreover, in a low-fee environment, large institutional participants are more motivated to perform on-chain reorganization and fund reallocation, which could be the main reason for the recent spike in daily trading volume.

Thus, when observing on-chain activity of Bitcoin, one should not only look at trading volume but also consider multiple data points such as transaction fees and address distribution to accurately determine whether the market is experiencing natural growth or internal rebalancing.

#BTC On-Chain Anomalies