– Bitcoin’s [BTC] price rallied by more than 2% during intraday trading on 23 January, trading at levels last seen in August 2022.
– On-chain data provider Glassnode’s report revealed shifts in the behaviors of new investors, long-term holders, and miners, which might indicate profit-taking.
– Glassnode’s assessment of BTC’s Percent Supply in Profit metric showed that the surge in price since the beginning of the year represented one of the sharpest spikes in profitability compared to prior bear markets.
The recent surge in Bitcoin’s [BTC] price has seen the leading digital asset reach levels last seen in August 2022. During the intraday trading session on 23 January, the coin saw an impressive rally of over 2%, pushing its price to new highs. This has put many holders in profit.
On-chain data provider Glassnode recently released a report assessing the behaviors of new investors (short-term holders), long-term holders, and miners. The report indicated that profit-taking might be occurring following a significant bearish trading period in 2022.
Glassnode’s report looked at BTC’s Percent Supply in Profit metric. It found that the surge in price since the beginning of the year represented one of the sharpest spikes in profitability compared to prior bear markets. This is a promising sign that the market is healing after the heavy deleveraging pressures inflicted in the second half of 2022.
To determine what new BTC investors have been up to, Glassnode assessed the coin’s Percentage of Short-Term Holder Supply in Profit metric. It found that most new investors have been making profits from the recent rally.
Glassnode also looked at BTC’s Net Realized Profit and Loss metric. It found that the market has suffered two large capitulation events (Terra-Luna and FTX collapse), which resulted in a net loss of 2.9% and 3.7% of the king coin’s market capitalization per week, respectively. However, with the recent spike in BTC profitability, the market has shifted to a state of profit dominance.
Overall, the recent surge in Bitcoin’s [BTC] price has seen the leading digital asset reach levels last seen in August 2022. On-chain data provider Glassnode’s report revealed shifts in the behaviors of new investors, long-term holders, and miners, which might indicate profit-taking. Furthermore, Glassnode’s assessment of BTC’s Percent Supply in Profit metric showed that the surge in price since the beginning of the year represented one of the sharpest spikes in profitability compared to prior bear markets. This is a promising sign that the market is healing after the heavy deleveraging pressures inflicted in the second half of 2022.
