{"id":120962,"date":"2023-07-11T17:54:14","date_gmt":"2023-07-11T17:54:14","guid":{"rendered":"https:\/\/dripp.zone\/news\/heavy-accumulation-puts-75-of-bitcoins-circulating-supply-into-profit-crypto-news\/"},"modified":"2023-07-11T17:54:16","modified_gmt":"2023-07-11T17:54:16","slug":"heavy-accumulation-puts-75-of-bitcoins-circulating-supply-into-profit-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/heavy-accumulation-puts-75-of-bitcoins-circulating-supply-into-profit-crypto-news\/","title":{"rendered":"Heavy accumulation puts 75% of Bitcoin’s circulating supply into profit\n – Crypto News"},"content":{"rendered":"

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Despite the volatility Bitcoin experienced in 2023, the extended sideways movement between February and July has proved to be fertile ground for accumulation. Onchain analysis showed that short-term holders<\/a> (STHs) and long-term holders<\/a> (LTHs) had steadily accumulated throughout the past quarter, indicating a strong belief<\/a> in the asset’s long-term value.<\/p>\n

Measuring Bitcoin’s supply in profit and loss is an essential part of analyzing the market. These metrics provide valuable insights into market sentiment and investor behavior \u2014 a higher supply in profit indicates that investors are holding onto their assets, expecting further price appreciation. Conversely, a higher supply in loss could signal potential sell-offs.<\/p>\n

Between September and December 2022, during a period of significant price volatility, the supplies in profit and loss converged multiple times, reflecting the market’s uncertainty.<\/p>\n

Graph showing Bitcoin’s supply in profit and loss converging between September 2022 and December 2022 (Source: Glassnode)<\/figcaption><\/figure>\n

However, the landscape has shifted since the beginning of 2023. The supplies in profit and loss have diverged, with the portion of the supply in profit increasing by over 53%. According to data from Glassnode, 14.61 million BTC is currently in profit, while 4.34 million BTC is in loss.<\/p>\n

\"bitcoin
Graph showing Bitcoin’s supply in profit and loss in 2023 (Source: glassnode<\/a>,<\/figcaption><\/figure>\n

As of July 11, 75% of the supply is in profit, leaving only 25% in loss. This significant equilibrium is reminiscent of the scenarios witnessed during the mid-points of the 2016 and 2019 market cycles. Glassnode data further revealed that 50% of Bitcoin’s trading days had seen a higher Profit-to-Loss balance and 50% a lower one.<\/p>\n

\"bitcoin
Graph showing Bitcoin’s supply in profit and loss from 2011 to 2023 (Source: glassnode<\/a>,<\/figcaption><\/figure>\n

The current accumulation phase and the resulting 75% of Bitcoin’s circulating supply being in profit is a promising sign for the cryptocurrency. If historical patterns continue, this could be the mid-point in Bitcoin’s current market cycle<\/a>suggesting that a bottom has been reached and the market is currently gearing up for a rally.<\/p>\n

However, it’s crucial to consider that while historical patterns provide useful context, they may not always predict future movements. Today’s Bitcoin market is influenced more than ever by a host of macro factors, such as regulatory developments and broader economic conditions.<\/p>\n

The post Heavy accumulation puts 75% of Bitcoin’s circulating supply into profit<\/a> appeared first on CryptoSlate<\/a>,<\/p>\n","protected":false},"excerpt":{"rendered":"

Despite the volatility Bitcoin experienced in 2023, the extended sideways movement between February and July has proved to be fertile ground for accumulation. Onchain analysis showed that short-term holders (STHs) and long-term holders (LTHs) had steadily accumulated throughout the past quarter, indicating a strong belief in the asset’s long-term value. Measuring Bitcoin’s supply in profit […]<\/p>\n","protected":false},"author":2,"featured_media":120963,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[230,225,221,227,226,228,229,60,223,224,222],"class_list":["post-120962","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency","tag-brave","tag-coinbase","tag-crypto","tag-decentralised","tag-decentralized","tag-decentralized-exchange","tag-erc-20","tag-featured","tag-meme-coin","tag-robinhood","tag-solana"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/120962","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=120962"}],"version-history":[{"count":1,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/120962\/revisions"}],"predecessor-version":[{"id":120964,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/120962\/revisions\/120964"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/120963"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=120962"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=120962"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=120962"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}