In a turbulent turn of events, Bitcoin (BTC) has persisted on a downward trajectory in recent weeks despite a fleeting surge that saw its value briefly breach the $28,000 mark at the close of August. 

This bearish trend has unfolded against a backdrop of mounting market uncertainty fueled by postponed spot BTC exchange-traded fund (ETF) applications, intensifying regulatory scrutiny, the strengthening of the US dollar, and most recently, fears about a potential $3.4 billion liquidation of FTX’s recovered user assets. 

However, while its price performance remains subdued, the same cannot be said for Bitcoin’s network activity. In fact, the largest cryptocurrency in the world recently witnessed the sharpest gain in new daily addresses in 5 years, crypto market expert Ali Martinez highlighted on September 10.

According to Martinez, “a whopping 717,331 new BTC addresses” were created on Saturday, September 9, the most since December 14, 2017, when Bitcoin added over 800,000 fresh addresses in a day. 

Bitcoin price analysis

At press time, Bitcoin was sitting at $25,727, down 0.37% in the past 24 hours.

The maiden crypto asset lost less than 1% over the past week and more than 12% on the month, erasing around $72 billion off its market cap over that 30-day period.

Still, Bitcoin remains up about 55% in 2023, outperforming major altcoins such as Ethereum (ETH), XRP (XRP), and Binance Coin (BNB). 

The recent surge in new Bitcoin addresses hints at a growing influx of new investors eager to seize the opportunity presented by the latest price dip, strategically accumulating BTC holdings. This influx likely suggests that interest in Bitcoin remains strong as individuals seek to capitalize on its long-term potential despite short-term market underperformance.

On the other hand, there is also a possibility that BTC could continue to witness bearish pressure in the near future, as highlighted by an analysis posted on TradingView last week. 

Notably, Bitcoin’s technical indicators are pointing out pessimistic signs, particularly the Moving Average Convergence Divergence (MACD), Relative Strength Index (RSI), and Stochastic Oscillator.