I don't know if this report is accurate, however, if on chain activity is truly this low, then it is because of the recent rise in tx fees caused by ordinals and also runes, so many people stopped using and spending BTC as a result of that, and went for other 'cheaper' alternatives. Bitcoiners are also very optimistic of the price rising to ~ $100, now that the halving has happened and spot etf's were approved in the U.S earlier in the year, so it could be that most people are holding their coins and do not want to move anything now until the price is attractive enough for them to sell.