Bitcoin’s network activity has reached its lowest level in a year. The Bitcoin Network Activity Index fell by 15%, now at 3,760, while daily BTC transactions dropped by 53% since September 2024, significantly impacting user engagement.

The decline is largely due to decreased usage of the Runes protocol, leading to a fall in OP RETURN code usage from 802,000 to 10,000 daily. This collapse dramatically affected the overall network activity.

Daily transaction fees for Bitcoin dropped sharply from 4.7 million USD to 593,000 USD, now just 1.8% of miners’ total income. Cryptoquant estimates Bitcoin’s fair value between 48,000 USD and 95,000 USD, indicating potential overvaluation at current prices.