Bitcoin
Mid-Size Bitcoin Transactions Increase, Reflecting Market Maturity and Retail Growth
Highlights in the chain
DEFINITION: Detail of the relative volume on the network adjusted by the entity by the dollar value of the transfers.
Bitcoin’s relative transfer volume, when adjusted by entity and categorized by transfer size, exhibits differentiated trends across transaction ranges. In January 2024, transfers under $1,000 constituted a smaller portion of overall activity. Notably, transactions between $1,000 and $10,000 experienced a slight increase, reflecting incremental retail participation.
Transfer volume divided by size: (Source: Glassnode)
Larger transfers, ranging from $10,000 to $100,000 and $100,000 to $1 million, showed an increase, remaining at around 20-30% of the total volume. This suggests an increase in institutional activity. Meanwhile, the $1 million to $10 million range also showed growth, while transfers above $10 million decreased.
Between mid-January and April, volume above $10 million resurfaced before falling, bottoming out in May.
The levels for the largest transfers rose again in late May and have stabilized since then. Other bands have moved relatively flat, with the exception of transfers under $100,000, which have remained stable.
Compared to historical data since 2017, the past year has seen a reduction in the dominance of smaller transactions, replaced by mid-sized volumes, especially those above $100,000. This shift highlights a maturation in Bitcoin’s user base, with an increasing reliance on significant transactions, potentially aligning with post-halving market conditions and a maturing institutional footprint.