GlossaryActive addresses (BTC)

Active addresses (BTC)

The number of daily active Bitcoin addresses, smoothed over a week and shown as a percentage deviation from its own yearly average. The absolute value says little across the years because the network grows; the deviation shows whether it is currently being used more or less than usual.

Zones

ZoneRange
Extreme activityfrom +50%
High activity+20 to +50%
Medium activity0 to +20%
Low activitybelow 0%

Reference lines are at −20, 0, +20 and +50%. Above +50% and below −20%, the pane is lightly shaded; −20% is only a guide, not a zone of its own.

How to read it

  • Confirmation: If the price rises while activity is above its yearly average, the move is carried by more usage.
  • Divergence: If the price rises while activity falls below its yearly average, the move has thinner backing.
  • Extremes: Values above +50% are a regime of their own, such as hype or a wave of new transaction types, and not simply “even more bullish”.

Limitations

  • Addresses are not users: One person often uses many addresses, and exchanges pool many users on a few. The number measures on-chain activity, not heads.
  • Warm-up period: The curve only starts once the smoothing and the yearly average are full, on daily candles after about 370 candles.
  • Bitcoin only, intended for daily to weekly charts.

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