Glassnode: 70% of Bitcoin addresses remain profitable

Published: 12.04.2022

Article reading time:
2 minutes.

The rate of the first cryptocurrency has noticeably decreased over the past week, however, Glassnode analysts note that 70% of Bitcoin addresses are still in profit.

According to the presented chart, between 70% and 75% of all Bitcoin wallets with non-zero balances are now in profit. The figure is noticeably higher than in March 2020, when only about half of the addresses were in positive territory, and even more so than in 2015, when the ratio of profitable wallets ranged from 30% to 42%.

“The current bear market is not as severe as the worst phases of previous cycles. Now only 25% to 30% of investors suffer unrealized losses. Of course, in the future, the market may continue to fall, and then the indicator will correspond to the numbers of past bearish cycles,” the analysts write in the report.

Most long-term holders of bitcoin are in profit – more than 67.5%. Glassnode researchers include wallets that have not sold BTC for at least 155 days.

The report notes that the market is already preparing for a new bull cycle. However, this has not yet happened and in the coming weeks there may be market consolidation, when traders will use every opportunity to make short-term profits.

Now about 225,000 transactions take place in the network of the first cryptocurrency per day. Approximately the same indicators were recorded during the “bearish cycles” in 2018 and 2019.

Two weeks earlier, Glassnode analysts wrote that the trend in the cryptocurrency market had changed to bullish. It seems that the researchers were too hasty with such a statement – since then, the BTC rate has fallen by 15% and now the first cryptocurrency is trading at $40,000.