Bitcoin Wallet Addresses in Profit Reach Record Highs
Despite Bitcoin’s price being 50% below all-time highs, the number of wallet addresses in profit has reached an all-time high, according to on-chain analytics firm Glassnode. The latest data reveals that there are 39.1 million addresses “in the black,” surpassing the previous peak of 38.1 million in November 2021 when BTC/USD traded at all-time highs. Although the current spot price is significantly lower, with a total of 48.3 million non-zero addresses, the percentage of addresses in profit is at an 18-month high of 81.1%. In contrast, there are just over 9 million addresses at a loss.
Long-Term Holders Show Minimal Profit-Taking
As Bitcoin crossed the $34,000 mark, there was significant profit-taking among more speculative hodlers. However, long-term holders (LTHs) remained relatively unaffected. James Van Straten, a research and data analyst at CryptoSlate, highlighted the difference in mentality between these two groups. While LTHs showed minimal profit-taking, it was one of the largest profit-taking events among short-term holders (STHs) in the past two years.
Conclusion
Despite Bitcoin’s price being well below its all-time highs, the number of wallet addresses in profit has reached record levels. This indicates strong investor profitability and resilience in the market. While more speculative hodlers have been taking profits as Bitcoin surpassed $34,000, long-term holders have remained largely unaffected. This divergence highlights different investment strategies and mindsets among Bitcoin investors. Overall, these developments demonstrate the ongoing growth and maturity of the crypto market.
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