Glassnode reports Bitcoin’s price soars beyond $50,000, while the amount of held losses diminishes to a mere 13%.
Bitcoin holders are reaping the rewards as the vast majority are now in a profitable position, according to analysts at blockchain firm Glassnode. Only 13% of the total supply of Bitcoin is currently held at a loss, as the cryptocurrency recently reached the $50,000 mark for the first time since December 2021.
Glassnode’s data reveals that approximately 87% of Bitcoin was acquired below the $48,000 mark. There is a significant concentration of short-term holders, who have been holding for less than 155 days, between the $40,000 and $45,000 range. On the other hand, long-term holders, defined as those holding for more than 155 days, make up the remaining 13% of the supply held in a loss position.
Glassnode also notes that the total volume of long-term holder supply held in loss is currently around 777,000 BTC. However, this number is “trending towards the zero bound” as prices continue to soar. Only 6.5% of the aggregate long-term holder supply is currently held in a loss.
The rising prices of Bitcoin are accompanied by a notable change in sentiment within the crypto community. The Fear and Greed index, which measures sentiment, recently reached 79 out of 100 points for the first time since Bitcoin’s all-time high in November 2021. This surge in sentiment is considered “extremely high” compared to the index’s recovery to a neutral 52 points in mid-October 2023, which anticipated the approval of spot Bitcoin exchange-traded funds (ETFs).
As Bitcoin continues to make headlines, with its price reaching $50,000 and ETFs recording $2.8 billion in net assets in January, it is clear that positive sentiment is growing within the crypto space.
