Recent data reveals a significant decline in Bitcoin network activity, dropping 30% below trend. This signals a bearish outlook as Bitcoin prices continue to slide into 2025, potentially reaching $80K. Analysts attribute this decline to decreased market participation and lower transactions. The crypto network activity index shows a clear indication of the downward trend. Historically, low network activity precedes price drops in Bitcoin, mirroring previous years’ trends. This is reflected in the chart below, which shows Bitcoin prices correlating with periods of decreased network activity. 2018-2022 witnessed similar scenarios where lower network activity contributed to major price corrections. With Bitcoin’s current network activity dipping below trendline, it suggests a possible continuation of downward momentum for the cryptocurrency. The decline in user engagement and fewer transactions, as seen in the recent data, could further impact price trends. Experts suggest that unless network activity shows a reversal and increases again, this bearish trend may continue to dominate the market. This pattern of decreased activity is closely linked with Bitcoin’s historical performance and previous market downturns. It remains to be seen if network activity will rebound or whether continued low activity will lead to further price declines in the future.