$BTC: Bitcoin transaction volume spikes, breaks downtrend as people buy the dip

Bitcoin transaction volume spikes, breaking a 4-month downtrend at the same time exchanges register BTC outflows. On-chain activity has been falling since Bitcoin's all-time high at $73,805.

Previously, a transaction volume uptrend sent Bitcoin’s price from $26,500 to the $73,800 all-time high. BTC then consolidated in a four-month price range. As this developed, the transaction volume indicator entered a downtrend, which the cryptocurrency just broke from, on July 3 to 5.

In this context, Santiment‘s social indicator shows increased mentions of “buy the dip” and related variations on social platforms. The increase happened at the same time as the price dropped to the local bottom.

Historically, these “buy the dip” chants surge when Bitcoin’s price falls aggressively, and they usually consolidate local bottoms.

Follow me on 𝕏 @vinibarbosabr