Fear-driven activity on the Bitcoin network pushed the number of daily active addresses to a 20-month high of 0.98 million
Following a security vulnerability in Coldcard hardware wallets, the number of daily active addresses on the Bitcoin network reached 0.98 million, hitting its highest level in the last 20 months.
Following the massive movement of 119,000 BTC in the Bitcoin ecosystem in recent days, Glassnode data has clarified the effects of this security migration on the network. The reflex of users to protect their assets after the software vulnerability in Coldcard devices caused a density in network activity unseen since December 2024.
According to the latest data shared by the on-chain analysis platform Glassnode, the number of daily active addresses on the Bitcoin network approached the 0.98 million mark. When examining the data in the chart, this vertical jump in the number of active addresses while the Bitcoin price moved within a specific range clearly demonstrates the unusual situation in the market. This increase stems from an urgent security need rather than a natural growth in the network’s usage rate.
Fear-Driven Security Migration on the Bitcoin Network
Glassnode defines this sudden intensity on the network as “fear-driven on-chain activity.” To avoid being affected by the vulnerability in hardware wallets, investors are moving their recovery seeds and rapidly transferring their funds to alternative storage solutions. This does not mean that Bitcoin (BTC) holders have lost confidence in the market; on the contrary, it shows they are taking a technical precaution to protect their assets.
This massive movement is considered entirely an operational security response rather than creating selling pressure. Instead of panicking and offloading their assets, investors moving them to more secure addresses proves that there has been no change in market sentiment. During this process, the record increase in the number of active addresses also demonstrates the Bitcoin network’s resilience against such mass fund transfers.