90% of Bitcoin Holders Riding High on Profits in Surging Market
Bitcoin surged past the $44,000 mark on December 5, marking a gain of over 16% in the last 7 days. This surge seems fueled by excitement over the possibility of a spot Bitcoin ETF approval and the upcoming Bitcoin halving in 2024.
In 2023, the leading cryptocurrency, Bitcoin, has brought gains to its holders, with a staggering 88% enjoying unrealized profits, as per data from IntoTheBlock. These profits are a result of holders acquiring Bitcoin at lower prices than the current market value.
Conversely, only 1% of Bitcoin holders purchased their coins at current market prices, while 11% are facing unrealized losses. This data indicates a positive sentiment among the majority of investors who have profited from Bitcoin’s recent price movements.
Long-term holders make up 69% of these investors, holding onto their coins for over a year. On the other hand, 31% have held for shorter periods, with 7% holding for less than a month.
Despite the recent bullish trend, indicators from IntoTheBlock paint a ‘Mostly Bearish’ outlook for Bitcoin. Among these indicators, ‘Net Network Growth’ and ‘Large Transactions’ reflect a bearish trend, standing at 0.27% and -1.06%, respectively.
READ MORE: Bitcoin’s ETF Anticipation: Market Jitters or Skyrocketing Surge Ahead?
The increasing number of Bitcoin holders in profit might hint at a potential shift in trends, where more holders ‘In The Money’ could lead to increased selling to realize profits.
Notably, the percentage of Bitcoin holders in profit rose from 82% in October to 85% in November, highlighting Bitcoin’s reputation as a store of value.
In summary, Bitcoin’s future trajectory will be shaped by factors such as protocol advancements, network decentralization, adoption rates, and macroeconomic conditions, beyond the recent surge and investor sentiments.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
