Santiment: Bitcoin on-chain transaction volume surges, with new wallets created reaching a 10-month high in one week

Santiment Intelligence stated that Bitcoin has just experienced a week of surging on-chain transaction volume. The number of new wallets on the network reached 2.27 million, marking the highest level in the past year, while the number of active wallets also reached 751,000, setting a record high in 10 months. The biggest catalyst was the chaos triggered by the Coldcard wallet incident.

The security crisis forced users to move funds, create new wallets, rotate custody settings, and recheck risk exposure, which naturally led to a significant increase in wallet creation and activity. Polarizing events often elicit the strongest on-chain reactions for Bitcoin and altcoins. Fear spread rapidly, followed closely by greed, and both emotions drive more people to trade, adjust positions, and closely monitor market dynamics, reigniting demand after a market downturn.

When retail investors are impacted and trading volume surges, large holders of Bitcoin often take advantage of the chaos to accumulate more aggressively, and this combination of increased usage and accumulation by large holders has historically had a positive effect on prices in the following weeks or even months.