- 99% of addresses with BTC did so with a profit at the time of writing.
- BTC’s MVRV ratio was at its highest level since 2021.
Bitcoins [BTC] The recent surge to a three-year high has triggered a wave of profitability for investors, with a remarkable 99.17% of holders sitting on profits at the time of writing, data from IntoTheBlock showed.
According to the on-chain data analytics platform, this represented 51.45 million of all addresses holding major crypto assets. At the press time value of $63,215, no BTC holder is considered to be “out of money.”
Source: IntoTheBlock
While there may be some profit-taking activity, this was bullish for BTC as there was an overall decrease in selling pressure from holders trying to break even on their positions.
Commenting on the possibility of a rally above its current price level, crypto analyst Ali_Charts noted in a recent post on
There is literally no resistance ahead #Bitcoin. All we see is a large retaining wall between $54,300 and $56,200, where 903,540 addresses bought almost 500,000 $BTC. pic.twitter.com/ZMeVkWyS4A
— Ali (@ali_charts) February 28, 2024
This means that many addresses (903,540) had collected the coin when it was trading within that price range.
So there is a ‘support wall’ that could potentially prevent the price from falling significantly if it approaches that level.
Ali added that these addresses collectively hold almost 500,000 BTC, reinforcing the idea that BTC had significant support within the $54,300 and $56,200 range and that no resistance was ahead.
Bitcoin prints green
AMBCrypto found that BTC’s rally above $63,000 on February 28 pushed the daily trade volume profit-to-loss ratio to a four-year high.
According to data from SantimentThis ratio was 4.91, indicating that for every trade involving BTC that ended in a loss that day, 4.91 trades made a profit.
The last time this ratio was this high was on December 17, 2020.
Similarly, the coin’s Market Value to Realized Value (MVRV) ratio was set at a three-year high of 171.95% at the time of writing.
Read Bitcoin’s [BTC] Price forecast 2024-25
The MVRV ratio is used to assess whether an asset is overvalued or undervalued relative to its historical price movements.
Source: Santiment
This suggested that most coin holders would get an average gain of 172% on their investments if they sold their BTCs at the market value at the time of writing.
