🚀 Bitcoin's dominance continues to grow, thanks to strong support from long-term holders
🔮 Let's talk about how Bitcoin's dominance in the market is getting stronger and stronger. Recently, the influence of stablecoins and altcoins has been declining sharply, while Bitcoin has been bucking the trend and consolidating its market position. $BTC
📊 According to Glassnode's latest report, since the cycle low in November 2022, Bitcoin's market share has soared from 38% to 56%, which is really impressive! At the same time, Ethereum's market share has fallen by 1.5%, and the shares of stablecoins and altcoins have also fallen by 9.9% and 5.9%, respectively.
💰 Despite the ups and downs of the market, long-term holders are still able to steadily make about $138 million in profits every day. Glassnode also found that despite the daily selling pressure faced by these investors, it actually reflects the huge amount of capital required to maintain a stable price for Bitcoin.
🔄 The report also noted that despite volatile market conditions, Bitcoin's price gains have been generally flat over the past few months, showing that the market is reaching some kind of balance.
📈 Interestingly, long-term holders have increased and short-term investors have suffered. Data shows that the supply of long-term holders is increasing rapidly, and their holding behavior far exceeds their spending. However, short-term holders have suffered huge losses during the recent economic downturn.
🤔 Glassnode analysis shows that Bitcoin's plunge of more than 15% to a six-month low in the first week of August was triggered by the "overreaction" of short-term holders. Currently, many short-term investors who bought during the 2024 rally are facing unrealized losses.
🧐 However, despite the blow to investor sentiment, the report believes that the situation may not be as bad as it seems.
💬 What do you think about the increase in Bitcoin's market dominance? Do you think the support of long-term holders is a decisive factor in market trends? What is your investment strategy in the current market environment? Welcome to share your views in the comment area!