Bitcoin’s Network Growth Hits High Levels Not Seen Since 2021 Surge

Bitcoin's on-chain metrics are showing a significant signal reminiscent of the last bullish run. The network growth has surged to extreme levels, echoing the conditions observed in early 2021 when BTC experienced an impressive rally to set new all-time highs. Concurrently, liquidity across the market is expanding rapidly, indicating that fresh capital is entering the ecosystem.

Key Takeaways

Bitcoin's network growth and liquidity have reached levels not seen since the 2021 surge.
Signs of recovery in these metrics suggest a possible bullish phase.
Social sentiment has turned negative, which historically precedes potential price rebounds.
Market expert predictions indicate that BTC could reach $104,000 with a potential correction beforehand.

Bitcoin

Network Adoption Indicates Strengthening Bull Market

The most recent comparable stretch of Bitcoin's network growth and liquidity occurred in 2021, just before the cryptocurrency experienced its final surge to a new all-time high. Swissblock reported on X that these metrics are starting to recover, suggesting the formation of a final bullish phase.

However, despite these rising metrics, the current divergence combined with falling price action implies that investors may be re-entering the market primarily to offload their assets. The pivotal question now is whether this renewed investment interest can sustain itself long enough to stabilize the market. If network growth and liquidity can continue to grow sustainably, they could trigger the necessary momentum for one last upward push before the cycle concludes.

Bitcoin
Source: Chart from Swissblock on X

The prevailing fear, uncertainty, and doubt (FUD) have intensified on social media after Bitcoin’s approximate 16% decline since January 28. According to Santiment, following a brief dip around $74,600, BTC rebounded to approximately $78,300, largely due to retail selling pressure. This behavior illustrates that market dynamics often move contrary to prevailing sentiments.

Social sentiment has shifted sharply negative, marking the most bearish outlook among retail investors since the crash of November 21. Historically, periods of significant negativity have often been followed by short-term relief rallies. Early price movements suggest this current bounce may start resembling recovery patterns seen after prior FUD-induced downturns.

Potential Price Movements: Could Bitcoin Reach $104,000?

Market analyst and investor The Milk Road, who accurately forecasted Bitcoin's drop from its previous all-time highs, is now anticipating a potential gain of 40% imminently. The Milk Road suggests that BTC may still encounter a correction somewhere between -20% to -77% before a significant pivot, projected between November 19 and February 2. A minor drop of 20 to 34% appears unlikely in this scenario.

Historically, BTC has experienced about a -40% decline from its all-time high on October 6, 2025, to February 2, which aligns with previous cycle patterns. The Milk Road's yearly cycle analysis indicates a critical pivot around February 2, after which BTC may launch a rally of +40%, potentially reaching $104,000 between now and September.

Bitcoin
BTC trading at $78,249 on the 1D chart | Source: BTCUSDT on Tradingview.com