The Bitcoin price suffered a steep correction over the past two weeks after the price had a drastic fall from the $48,200 resistance zone. This resulted in an 18.67% loss, the correction pushed Bitcoin’s value to $39,200.
Regardless of such deep losses, the new data from Glassnode, a blockchain analytics firm reveals that up to 75% of Bitcoin addresses are in profit.
Bitcoin Addresses Are In Profit
According to Glassnode’s week-on chain report published on April 11th, Monday, the firm’s analysis claims Bitcoin wallets are in profit and also around 70% to 75% of addresses are experiencing an unrealized profit, which is much higher than the 45% to 50% of addresses during the time of 2018 bear market.
Looking at the found data, analysts at Glassnode added that the present bear market is nowhere near to the previous one which is considered the worst.
Also, the long-term Bitcoin holders holding Bitcoin for over 155 days, are the least who are likely to be under loss, reveals the report. Hence, as per the reports, more than 67.5% of long-term holders are in the position of unrealized profit whereas the short-term holders, holding Bitcoin for less than 155 days have seen only 7.88% gains.
Bitcoin price had declined below $40,000 in the early hours today, but now it has slightly climbed above $40k and is trading at $40,198 with a decrease of 4.13% over the last 24hrs. This move has placed the currency into a bear market.
A few are speculating that the Bitcoin will head towards $30,000 and a few others believe that BTC price will push towards $50,000. The report also stated that 58% of the volume on the Bitcoin network is in profit dominance, a metric that has been ignored since December 2021.
As per Glassnode bear markets usually look at long periods of transaction volume that make a loss and the present reversal of profit dominance could be a sign that sentiment is shifting with demand towards Bitcoin’s ability to buy the sell-side.
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Source: https://coinpedia.org/bitcoin/crypto-market-free-fall-heres-the-state-of-long-term-bitcoin-hodlers/