Record High Profit for Bitcoin Wallets Despite 50% Price Drop from All-Time Peak
Summary:
Despite Bitcoin's price being half of its all-time high, more wallet addresses are in profit than ever before. With the current price around $34,000, over 80% of Bitcoin addresses are profiting. The number of profitable addresses reached a record 39.1 million as of Oct 30 according to on-chain analytics firm, Glassnode. Long and short term investors are also benefiting from the current price levels, resulting in some investors realizing their profits.
Despite the fact that Bitcoin's (BTC) price is currently half of its all-time high, more wallet addresses are in profit now than ever before. This information comes from Glassnode, an on-chain analytics company, which revealed a peak in profitable addresses. With Bitcoin prices hovering around $34,000, more than 80% of Bitcoin addresses are back in the green.
Although Bitcoin is not yet at its heights from 18 months ago, its recent windfalls have been sufficient to cause noticeable shifts in investor returns. As of October 30th, according to Glassnode, the number of profitable addresses reached 39.1 million, which is the highest record for Bitcoin, outperforming the previous high of 38.1 million in November 2021. During this period, BTC/USD was trading at its peak, which means every single active Bitcoin address - those with a non-zero balance - was in profit. Despite the fact that the current market price is 50% less than its previous peak, the number of non-zero addresses currently stands at 48.3 million.
Percentage-wise, addresses in profit have not equalled their absolute numbers, although they have reached an 18-month high at 81.1%. As per Glassnode's data, the count increased from 60% to 80% in the last two months. On the other hand, there are slightly over 9 million addresses at a loss. At their height in December 2022, after a shakeout, this number was more than 20 million.
Long-term and short-term investors are both making profits as Bitcoin continues to break through multiple resistance levels. This has led to some investors, particularly the more speculative ones, taking profits as Bitcoin crossed the $34,000 mark. According to James Van Straten, a research and data analyst at CryptoSlate, this highlights the differing attitudes of the investor groups. He remarked that while Bitcoin has held firm above $34,000 for the past five days, short-term holders have cashed in some of their gains, whereas long-term holders have remained more or less static.
Charts provided by Glassnode show how long-term holders and short-term holders in profit have transferred Bitcoin to exchanges. No investment advice or recommendations are provided in this article. Every investment and trading decision carries a risk, so individuals should make informed decisions based on their own research.
Published At
10/31/2023 8:25:00 AM
Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.
Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal?
We appreciate your report.