Nearly 40 million Bitcoin addresses now in profit
According to on-chain analytics firm Glassnode, as of October 30th, the number of Bitcoin addresses in profit reached a historic high of 39.1 million. This milestone surpasses the previous peak of 38.1 million recorded in November 2021 when Bitcoin was trading at its all-time highs.
Interestingly, this surge in profitable addresses has occurred even though Bitcoin’s spot price remains significantly lower than its peak levels. The total number of non-zero balance Bitcoin addresses is currently 48.3 million, suggesting that nearly 81.1% of these addresses are in profit – a level not seen in the past 18 months.
This shift towards profitability has been swift, with the percentage of in-profit addresses surging from 60% to 80% over the last two months. On the flip side, the number of addresses at a loss has decreased to just over 9 million, a significant drop from over 20 million recorded in December 2022, post the FTX meltdown.
The past week has seen Bitcoin’s price action break through multiple resistance levels, returning both long-term and short-term holders to profit. This has triggered profit-taking, particularly as Bitcoin surpassed the $34,000 mark.
James Van Straten, a research and data analyst at CryptoSlate, highlighted the difference in mentality between different types of investors. He noted, “Bitcoin has shown remarkable strength above $34k for the past five days while witnessing one of the strongest profit-takings in the past two years, from short-term holders.”
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