Bitcoin had one eventful weeks in terms of price development. The world's largest cryptocurrency is currently recording a 19% increase in the last seven days and a 43% increase in the last 30 days, its highest percentage increase in over a year. As a result, a large number of BTC addresses were pushed into profit. For the first time in over two years, 97% of all Bitcoin addresses are now making profits.
The number of profitable Bitcoin addresses is skyrocketing as prices rise
According to crypto on-chain analytics platform IntoTheBlockCurrently, 50.62 million Bitcoin addresses are in profit at the current price level. This huge number accounts for over 97% of the total wallet addresses. Notably, the last time holders saw such high profitability was in November 2021, when the price of Bitcoin was around $69,000, nearing its all-time high.
What is noteworthy is that market developments have resulted in Bitcoin continuing its massive gains over the past few months. Just last month91% of addresses were in profit. Despite some sporadic sell-offs and profit-taking by some investors trying to break even, addresses' share of profits continues to rise as selling pressure no longer has a significant impact due to huge profitability.
How long can Bitcoin sustain this uptrend?
Bitcoin prices have skyrocketed in recent months, recently passed the $60,000 mark again. The top cryptocurrency is currently trading at $62,233 at the time of writing, and 1.28 million addresses, representing 2.46% of the total, are at breakeven.
Bitcoin is currently trading at $62,233. Chart: TradingView.com
The price increase is due to this increased mainstream acceptance in the traditional investment world, led by Explore Bitcoin ETFs. This, in turn, has ushered in a new wave of holding mentality. In February, 69,244 BTC worth over $3.6 billion have been withdrawn from crypto Exchange.
Those who have benefited the most are those who have held Bitcoin for a long time. According to IntoTheBlock, there are 13.6 million Bitcoins owned by investors who have held on to their assets for over a year.
However, new investors can still look forward to a sustained price increase as Bitcoin faces little to no resistance along its path. Only 0.37% of addresses (193,000) are still waiting to make a profit at the current price.
Most experts remain optimistic about Bitcoin's price potential for the rest of 2024 and beyond. With the bull market in full swing, many traders and crypto analysts expect Bitcoin to continue making new all-time highs in 2024. Year-end price targets range from $100,000 to $300,000 per Bitcoin.
Featured image from Pexels, chart from TradingView
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