Analyst sets $95,000 ceiling for Bitcoin fair value amid declining network activity

Runes down in popularity

The decline in network activity is largely driven by reduced use of the Runes protocol for token minting on Bitcoin. Runes relies on OP_RETURN codes to store token-related data, but the number of these codes used in transactions has dropped significantly.

In April 2024, daily OP_RETURN codes peaked at 802,000 but have since fallen to an average of 10,000 per day in January.

As of Feb. 4, Runes-related transactions totaled 6,110, accounting for about 2.5% of Bitcoin’s daily transaction volume, based on data from a Dune Analytics dashboard created by Crypto Koryo.

From Jan. 1 to Feb. 4, Bitcoin transfers made up 73.5% of daily network activity, significantly surpassing transactions related to Ordinals, BRC-20 tokens, and Runes.

This decline is also evident in Bitcoin’s mempool. Unconfirmed transactions have plummeted from 287,000 in December 2024 to just 3,000 — a 99% drop. The mempool last recorded such low activity in March 2022.

Despite signals that BTC may be overpriced, said in a recent report that Bitcoin remains resilient, even after the market shock caused by tariff plans.

In January, BTC outperformed the broader crypto market by gaining 9.4%, while the wider market saw an average decline of 25.7%.

Bitcoin Market Data

At the time of press 12:01 am UTC on Feb. 6, 2025, Bitcoin is ranked #1 by market cap and the price is down 1.32% over the past 24 hours. Bitcoin has a market capitalization of $1.91 trillion with a 24-hour trading volume of $49.27 billion. Learn more about Bitcoin ›

Crypto Market Summary

At the time of press 12:01 am UTC on Feb. 6, 2025, the total crypto market is valued at at $3.17 trillion with a 24-hour volume of $127.11 billion. Bitcoin dominance is currently at 60.37%. Learn more about the crypto market ›

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