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Bitcoin Active Addresses

Source: lookintobitcoin.com

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What is this Bitcoin chart Showing?

The number of addresses on the Bitcoin blockchain that either sent or received transactions.

This is a useful metric to monitor over time as it shows the amount of activity happening on the Bitcoin network. As Bitcoin becomes more and more adopted over time, the number of active addresses increases.

However, you can also see zooming in that during periods where the price drops, so too can active addresses as speculators hoping that $BTC price will go up, become less interested in bitcoin in the near term. That drop-off in speculation and general usage results in drops in the number of active addresses.

The bitcoin chart above uses a 7 day moving average for the number of bitcoin active addresses to smooth out the daily fluctuations.

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