According to blockchain analytics firm IntotheBlock, Bitcoin has held on to the $50,000 level it reached yesterday – meaning only a small number of BTC holders are still sitting on unrealized losses on their investments.
The company now estimates that 94% of investors are in-the-money, meaning they are making an unrealized profit on their Bitcoin holdings. Another 6% saw BTC return to the price at which they bought into the market.
ITB estimates the average cost at which BTC was purchased by investors. But it's just an estimate. There are likely a handful of investors who have bought in at or near the top – Bitcoin's all-time high of $64,899 in November 2021 – and are waiting for the world's oldest and largest cryptocurrency to reclaim it.
According to CoinGecko data, Bitcoin price is at $50,107.15 at the time of writing, up 4% from this time yesterday and a hefty 17% increase from this time last week. All the bullish price action has pushed the BTC market cap to $982 billion as of Tuesday morning.
This means that BTC's market cap is about three times larger than Ethereum's market cap of $318 billion. It's a distinction that Bitcoin only reintroduced in October last year, when momentum began to build for a spot Bitcoin ETF approval by the Securities and Exchange Commission.
There is at least some evidence that the 11 Bitcoin ETFs approved last month helped push BTC above $50,000, according to a report yesterday from European digital asset manager CoinShares.
According to the company, just over $1 billion worth of assets flowed into crypto funds last week. The overwhelming majority of deposits, 98%, went into Bitcoin-focused funds. The rest was mainly accounted for by the Ethereum (ETH) and Cardano (ADA) funds.
Meanwhile, the global cryptocurrency market capitalization is on the verge of reclaiming the $2 trillion mark. It hasn't been this high since April 2022, according to data from CoinGecko.
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