Following recent dips, Bitcoin is trading around $112K as traders observe a potential shift in the market structure. While bullish momentum remains strong, on-chain data reveals a concerning slowdown in network activity, which may impact the sustainability of price gains. The Daily Chart shows BTC bouncing off the $107K support zone and retesting the $112K level. This price action brings it to the cusp of the 100-day moving average, acting as short-term resistance. The RSI remains subdued near 48, suggesting that while buyers are present, their conviction is lacking. The 4-Hour Chart reveals a double bottom pattern forming around $106K, leading to a rebound towards the $112K neckline zone. Notably, the RSI has climbed toward 59, indicating stronger short-term momentum as buyers strive to regain control. If bulls can break above $112K with substantial volume, the next target is the $117K supply zone. However, repeated rejections here would weaken the structure and potentially lead price back towards the $110K level, making it a recurring battleground for short-term traders. **Onchain Analysis: Active Addresses Declining Despite price stability, active addresses have been declining for months with no signs of significant improvement. This decline suggests that retail participation and organic network demand are waning, as fewer users indicate dominance from long-term speculation. Several factors could be at play here: increased institutional adoption where Bitcoin is more treated as a tradable asset than a medium of exchange; the shift in user behavior towards alternative cryptocurrencies like altcoins, DeFi, or stablecoins; and finally, long-term holders moving coins into cold storage, reducing transactional activity on the blockchain. This divergence between strong price gains and weak onchain activity signals that liquidity is dwindling, leaving Bitcoin more vulnerable to volatility spikes if demand doesn’t pick up again.