Most Bitcoin Investors Still in Profit Despite the Crash

In accordance with data revealed recently, only the new investors are facing losses in the market and not the old Bitcoin investors in the recent sell-off. Despite the massive sell-off over the last few days, most of the Bitcoin investors are sitting on profits.

Bitcoin Investors Still in Profit Despite Huge Sell-Off

Well, Bitcoin has recently witnessed one of the worst crashes in the history of the coin and despite the market crash over the past week, most of the investors in Bitcoin are still making profits from their investments.

Glassnode, the blockchain analysis company said that it is true that the crash can up to an extent be blamed on the panic selling that occurred last week, most of the long-term holders of Bitcoin did not sell.

In a report released this week, the Blockchain analysis company Glassnode noted that the Bitcoin market has recently gone through the largest sell-off event since the March 2020 sell-off.

At present, Bitcoin is being traded at around half the value of its all-time high price of $64K, most of the investors in the market got in well before touching the current levels of around $37K.

Understanding the Report 

The report addressed the not-selling factor of the old investors and revealed:

“During this capitulation sell-off, however, the spending of 1y-3y old coins was actually significantly less and declining as a proportion of total activity. This suggests that old hands did not panic sell nor rush for the exits.” 

In addition to this, the data shared with leading market analysts revealed that during the selling session, the number of big whales holding 10K or even more Bitcoin also increased from 85 to 90. 

This clearly indicates that long-term investors saw this as an opportunity to collect more Bitcoin.

Glassnode said:

“There is no question that a large portion of the recent spending activity was driven by short-term holders, those owning coins purchased within the last 6 months.”