Skip to main content

As Bitcoin experiences "massive" accumulation, 13% of the available supply turns profitable.

By

As Bitcoin experiences "massive" accumulation, 13% of the available supply turns profitable.



As new data suggests that the BTC price has laid the "foundation" of a macro bottom, hodlers of bitcoin, whose BTC ticker is down $18,817, are starting to profit once again. 

According to the most recent data from on-chain analytics company Glassnode, a sizable portion of the Bitcoin supply is moving "into the black" as BTC/USD crossed $18,000.

Bitcoin creates a zone of "massive" accumulation

Bitcoin is back on bulls' radar after gaining around 5% in the last day, ahead of a crucial release of US inflation data. 

The impact is still unknown, but on-chain study is focusing on a more significant phenomenon that is already taking place in the market. 

Numerous bitcoins have experienced unrealized profit turn into unrealized loss as a result of the most recent price increase; they are now worth more than they were before. 

If this indicates that investors who purchased below the current spot price are now making money, it may signal that a sizeable portion of the BTC supply was traded somewhere between the current spot price and recent multi-year lows.

This has consequences for price behavior since those investors that buy in build up strong price support.

Checkmate, the main on-chain analyst at Glassnode, said of the findings that "simple Bitcoin tools like Supply in Profit return enormous edge for those who pay attention." 

The price shift that we are seeing is only about 10%, but a staggering 13% of all coins are earning a profit. This denotes an accumulation built upon a foundation of huge submission.

The phrases "capitulation" and "accumulation" refer to traditional market cycles, particularly Wyckoff's, which calls for an accumulation phase to follow a macro bottom and eventually usher in the next bullish phase of the market. 

According to Glassnode, 13% of the Bitcoin quantity that was in circulation had earned a profit at the price of $18,200. 

The company emphasized that "the observed fast upward trend in this indicator helps to confirm that a significant amount of BTC was purchased between $16.5k and $18.2k."

Mood reflects December highs.

Meanwhile, the profitability of Bitcoin at one-month highs stands in stark contrast to the post-FTX pandemonium.

Hodlers were holding more over half of the supply in unrealized loss following the FTX implosion, as Cointelegraph revealed. 

The situation barely changed in the ensuing weeks, and Bitcoin's realized cap drawdown was getting close to bear market territory. 

However, Philip Swift, co-founder of trading platform Decentrader, was already considering a shift from capitulation to accumulation in December, when BTC/USD last traded above $18,000.

Article Credit: CoinTelegraph

Join thousands of investors, Bitcoin B2B and Institutional at the World's Largest Bitcoin Mining Conference & Expo- Mining Disrupt July 25-27, 2023 in Miami. Get your Tickets now at https://miningdisrupt.com

Chat, Network and Connect with many thousands of Miners and Professionals on the official Mining Disrupt Telegram Group: https://t.me/MiningDisruptOfficial

Mining Disrupt email: conference@miningdisrupt.com

Comments

Post a Comment

Popular posts from this blog

A Joint Venture Between Atlas Power and Giga Energy Will Use Stranded and Flare Gas for Bitcoin Mining

By
A Joint Venture Between Atlas Power and Giga Energy Will Use Stranded and Flare Gas for Bitcoin Mining A ground-breaking joint venture to use stranded and flared gas for Bitcoin mining operations has been announced by Atlas Power, a leading provider of Bitcoin mining infrastructure led by CEO Kevin Washington and COO Jeff Young, and Giga Energy, a pioneer in cutting-edge gas-to-energy solutions founded by Brent Whitehead and Matt Lohstroh. This alliance hopes to capitalize on the rising demand for eco-friendly and effective Bitcoin mining solutions while addressing environmental issues related to gas flaring. In the joint venture, Atlas Power will supply cutting-edge Bitcoin mining equipment, and Giga Energy will offer its knowledge in capturing and converting flare gas into power. Through their cooperation, the businesses are able to conserve a resource that would otherwise be wasted, lower their greenhouse gas emissions, and profit from the energy-intensive Bitcoin mining process. Th...
Post a Comment
Read more

Eureka Digital Mining Signs Distribution Agreement with Green Hash Co.

By
Eureka Digital Mining Signs Distribution Agreement with Green Hash Co. October 25, 2023, at the Blockchain Life 2023 exhibition in Dubai UAE- Shenzen Green Hash Co Ltd. and Eureka Digital Mining Inc. officially signed a strategic cooperation agreement for the distribution of their industry leading direct chip cooler hydro mining infrastructure to the North American mining market and select global projects / clientele. "We are very excited for his amazing partnership, expanding upon our commitment to the bitcoin mining community to deliver the most efficient and innovative solutions in the immersion and now direct chip cooling space. Green Hash's premier line of hydro products will allow us to continue to deliver smart and highly efficient mining systems to our client base as they prepare for the halving" says Bryan Davies, President of Eureka Digital Mining.  George Duran, President of Green Hash states "Green Hash's strengths are in: research and design, enginee...
Post a Comment
Read more

Revolutionary Bitcoin Mining Product from Zebacus is Released - Zebacus Pool

By
Revolutionary Bitcoin Mining Product from Zebacus is Released - Zebacus Pool The cutting-edge cryptocurrency platform Zebacus has introduced a brand-new Bitcoin mining service called Zebacus Pool. Based on the current price of Bitcoin, this dynamic platform offers traders the chance to purchase terahash with a projected return of less than two years. Zebacus offers $5 worth of bitcoin terahashes as part of its launch promotion, which are displayed on the dashboard after registration. Zebacus wants to provide its users with a global one-stop shop for bitcoin solutions. Zebacus is creating a variety of goods and services to meet the demands of its consumers with the aim of supplying cutting-edge technology to expedite crypto transactions. One of Zebacus' main services is its bitcoin mining platform, which is operational and accessible to those that are interested in cryptocurrencies. The mining platform offers consumers a practical way to take part in Bitcoin mining. Zebacus intends ...
Post a Comment
Read more