Analyst William Clemente says Bitcoin’s on-chain (BTC) activity is “dead” but the on-chain indicators are now very positive.

In the latest edition of Anthony Pompliano’s weekly newsletter, Clemente highlighted several metrics that show no reason to be pessimistic about Bitcoin this month.

50,000 new Bitcoin entities every day

With BTC price action not impressing, there is no shortage of declining prospects for Bitcoin, with even its most famous price patterns being criticized.

Clemente argues that the situation is far from easing when one can orientate oneself on on-chain data.

“The growth of new users is currently at an all-time high, every day over 50,000 new entities appear in the chain,” he sums up.

These new units could also put pressure on exchange reserves, which have continued their downtrend – nearly 18,000 BTC left the wallets in the past week alone.

“Retail has been buying heavily for weeks, but we finally got the whales we were waiting for,” the newsletter continued.

“This week, 17 new whales were born on the blockchain, and the total number of whale populations has risen to 65,429 BTC.”

As Cointelegraph reported, the whales were on the news this week for other reasons, with a giant amassing short positions on the Bitfinex exchange causing a price drop that lost BTC / USD key support from $ 33,000.

In contrast, Clemente viewed current activity broadly as an “increase in whale activity”.

Forget the slow blocking time

Elsewhere, cause for optimism is a falling premium on Grayscale Bitcoin Trust (GBTC) despite upcoming unlocking events.

The hash rate hasn’t returned to question the recent low of 83 exahashes per second (EH / s), leaving only the number of transactions to worry about.

“Overall, on-chain activity is dead, as the number of Bitcoin transactions shows,” Clemente admitted.

But here too there is a caveat.

“If I had to build a bear case and question my own opinion, this would be one of the graphics I would use; However, some of that decline could have come from people who are making less use of the Bitcoin network due to slower block times, ”he explained.