A glassnode graphic reveals that right now about 83% of bitcoin addresses have profits.
– Ciara Sun (@CiaraHuobi) June 23, 2020
This chart examines the BTC held in public addresses and compares the price when received with the current one.
From December 2018 to March 2019, this percentage was less than 50%, so more than half of the addresses made profits.
At the time, the price was less than $ 7,000, but in mid-May 2019, the price was again above $ 7,000, with more than 50% of addresses in profit.
In June of last year, when the price topped $ 12,000, the addresses with gains exceeded 80% and remained in positive territory even after the fall in August.
Since then, this percentage has always remained above 50%, until the collapse in mid-March 2020, when it was below this threshold for a few days.
But then the price went up and now this percentage is back above 80%.
This means that the 80% of addresses containing BTC contain bitcoin that was received at a lower price than the current one.
There is no guarantee that the BTC received at an address represents a purchase, as it may have simply been a transfer from one address to another property of the same person, or it may have been payments for goods, work or services.
However, the fact that this percentage is much higher than 50% leads to the assumption that the majority of people who have bought Bitcoin and still own it are also currently in profit.
Also, the highest percentage of addresses in profit this year, almost 90%, occurred on June 1, when the price of bitcoin rose above $ 10,000.
This suggests that in the event that the price exceeds $ 10,000 again, the vast majority of people who bought bitcoin they would make profit.
The highest percentage after the collapse in early 2018 occurred on June 26, 2019, when it rose to 95% when the price of BTC exceeded $ 13,000.
It is worth remembering that, according to Chainalysis, the Most BTCs are owned by people who own them for a long timeThat is to say, as a long-term investment, and this partly explains why, when the price increases significantly, most directions make a profit.
More than 60% of all bitcoin in circulation has been held for a long time, while only 19% is traded daily on exchanges.
Obviously, those who bought BTC during the speculative bubble in late 2017, when the price hit $ 20,000, still have a big loss, but a significant chunk of them may have already sold the bitcoin they bought at the time.