ALBAWABA – Blockchain data monitored by the analytics firm, IntoTheBlock, shows that the coin’s recent surge towards $67,000 price point, has left 97 percent of addresses holding the coin are “in the money”, which according to Coindesk mean they have acquired Bitcoin in a lower price compared to the current market rate.
IntoTheBlock notes that this recent spike in profitable addresses, which is the highest since 2021 when the coin hit its highest peak point to date of $69,000 market price, has positive effects in the Bitcoin’s bull race, adding “Given the substantial percentage of addresses in profit, the selling pressure from users attempting to break even no longer has a significant effect.”
Buying Bitcoin today, for those who are new to the market, entails buying from those who are already profitable. According to IntoTheBlock, it is observing the actions of long-term Bitcoin holders, particularly those who have held onto their coins for over a year, in order to evaluate the longevity of this trend.
Data Source @intotheblock
— Wealth📈🇳🇬 (@WealthNkem) February 28, 2024
Bitcoin's supply is on the rise, with around 19.65 million BTC circulating in the last week. This suggests that a large number of people are actively buying and holding onto Bitcoin, indicating increased popularity and acceptance. pic.twitter.com/K7nfOn0IeO
Due mostly to significant inflows into the U.S.-based spot ETFs that were authorized in January, Coindesk adds that Bitcoin has increased by 54% this year, expanding its 154% return from 2022. The demand-supply factors are now shifting in favour of the bulls due to Wall Street's acceptance of spot ETFs, providing an environment for a rise that might push the coin to new highs.
Another noteworthy event that has affected the price of Bitcoin is the upcoming halving, the coin’s price is rising due to preparation for the event, which is expected to uncover the next chapter of Bitcoin's bull run and send it to all-time highs.
