Amidst a renewed wave of optimism sweeping through the broader cryptocurrency landscape, the resurgence of Bitcoin (BTC) to the pivotal $37,500 price threshold has become a catalyst for positive shifts.

At present, a staggering 85% of Bitcoin holders find themselves in a profitable position, a testament to the resilience and potential of the leading cryptocurrency. Encouragingly, key indicators hint at the likelihood of this percentage expanding in tandem with Bitcoin’s upward trajectory.

As the market plummeted from its all-time high in November 2021, the amount of Bitcoin supply in profit has reportedly hit levels last observed two years ago, according to Glassnode.

The analytics service also stated that the amount of unrealized profit contained in these currencies is still very small.

Based on the latest figures from blockchain analytics website IntoTheBlock, some 85% of Bitcoin holders are profitable at the current price of the first cryptocurrency, 11% are losing money, and 5% are just breaking even.

With #Bitcoin trading at yearly highs above $37k last week, over 83% of the coin supply was driven back into profitable territory.

However, the magnitude of unrealized profit remains modest, and is not yet sufficient for long-term investors to divest.https://t.co/IGJpglF20J

— glassnode (@glassnode) November 22, 2023

According to the data provided by Glassnode, it is seen that the current circulating supply of BTC, standing at 83%, has exceeded historical norms. Moreover, it is approaching the upper threshold of +1 standard deviation, which is at 90%.

Bitcoin reached its peak for the year, surging to $37,900 on November 16, signaling a significant milestone in its performance. Nevertheless, a subsequent pullback has ensued, with the cryptocurrency retracing 4% from its recent high.

This retracement aligns with the ongoing market cooling, emphasizing the dynamic and responsive nature of cryptocurrency markets to prevailing conditions.

According to the latest statistics on November 23, Bitcoin was observed to be traded at a price of 37,500. This value signifies a 2.30% increase within the last 24 hours, a 0.39% gain over the preceding seven days, and a 9.93% advancement over the previous month.

Glassnode stated that this recent increase has seen stronger accumulation patterns than others this year, based on an Accumulation Trend Score. Prices experienced two notable increases in late January and late March, with increases of 40% and 50%, respectively.

Glassnode’s research indicates that the current increase in Bitcoin’s profitability has not incentivized its long-term holders to sell their holdings in order to realize gains.

A comprehensive evaluation of BTC’s Unrealized Profit (see chart above) indicates that it continues to persist at the historical average level of nearly 50%.

The report characterizes this level as notably lower in comparison to the exceedingly high levels of 60% or more observed during the euphoric period of previous bull markets.

When combined with additional encouraging elements like the hope for the approval of a potential spot exchange-traded fund (ETF) and the impending halving event, the aforementioned data is unquestionably favorable for the flagship decentralized finance (DeFi) asset.

Featured image from Freepik

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