Recently, I looked into on-chain data of a certain public chain and found a phenomenon that quite well explains the situation.

Daily active addresses suddenly surged to 870 on January 17th, compared to just over 100 at the beginning of the month. In less than two weeks, it nearly increased by 8 times. This growth rate is no joke. Even more outrageous is the trading volume — on a single day, on-chain transfers skyrocketed to $7.4 million, whereas at the start of the month, it was mostly between $100,000 and $500,000. Such a jump in volume is not something retail investors can usually achieve; it’s likely that institutions are rebalancing or opening new positions. At the same time, the token price jumped from $0.06 to $0.12, indicating that capital and chip flows are accelerating. The coordination between these factors is quite tight.

Looking at the holding structure, it’s even more interesting. The top ten addresses control over 75% of the circulating supply. Two addresses belonging to a major exchange hold nearly 14%, which are cold wallets. The two largest addresses hold 21% and 18% respectively, likely project team or early investor lock-ups. While such concentration is common, it also exposes a risk — if large holders start selling, the market could become fragile.

A detail worth noting: the price is rising, but the growth of new addresses has not kept pace. What does this imply? It’s not retail FOMO driving in; rather, existing users are adding to their positions or a few large holders are operating. Looking at the number of transactions, on January 17th, there were 4,235 transactions, doubling from the previous day. The average transaction size was around $1,700 — clearly characteristic of large-volume operations.

From a technical perspective, the market is currently overbought, and a short-term correction is needed to digest the floating supply. But from another angle, the continuous increase in on-chain activity is a positive signal. Network usage is indeed becoming more active, which is beneficial for long-term development.