Profitability mimics the height of last year’s bull run, but the circumstances have changed beyond recognition in 2020.
The vast majority of the Bitcoin (BTC) supply is now in profit after its price bull run to $11,400, data shows.
Tracked by on-chain monitoring resource Glassnode, as of July 27, almost 95% of the Bitcoin supply is now worth more than when it last moved.
Bitcoin profitable days hit 97.7%
Monday’s figure almost matches the previous high set in June 2019, at the height of Bitcoin’s price surge which topped out at $13,800.
Bitcoin percent supply in profit 3-year chart. Source: Glassnode
This time, however, multiple factors differentiate the market from how it looked a year ago. Not least, macroeconomic sentiment has been turned upside down — the U.S. dollar has weakened, and investors have flooded into safe havens gold and silver.
Zooming out, Bitcoin has remained profitable 97.7% of its lifespan on daily timeframes, data from LookIntoBitcoin shows.
Bitcoin profitable days lifetime chart. Source: LookIntoBitcoin
BTC bulls “aren’t done yet”
Despite profitability and Bitcoin returns exploding in Q2, data from exchanges has yet to reveal mass selling at a certain price point. Inflows spiked on Monday, but pressure remains manageable.
Cointelegraph Markets analyst filbfilb has highlighted $10,400 as a strong area of buyer support.
“There’s big bidders around $10,400. I have trailing stops in place but going to have to babysit in case it looks like a wick,” he told traders.
Filbfilb added he had entered a long position as he is “not convinced the bulls are done yet” at $11,000.
