According to data analytics firm Glassnode, 75% of bitcoin wallets are profitable despite the asset recently falling back below $40,000.
Profitable bitcoin wallets
This is more than during the bear market of 2018, when only 50% of them were beneficiaries. In addition, this analysis shows that approximately 60% of trading volume is profitable. This is the first time this indicator has been at such a high level since December 2021 . This strong dominance of profits could be a sign of a change in behavior.
It also shows that long-term investors are the most likely to make profits in this market. Long-term bitcoin holders are considered to have held them for at least 155 days . Over 67.5% of these investors have unrealized gains. On the contrary, only 7.88% of short-term holders – who held the coin for less than 155 days – saw gains.
If you, in turn, want to buy Bitcoin , we advise you to do so on a quality platform such as Capital.com .
Despite everything, the demand for this asset is currently weak. Trading volume fell to relatively low levels, similar to the 2018-19 bear market . To date, the Bitcoin network processes approximately 225,000 transactions per day, reflecting a weak enthusiasm around cryptocurrency.
An increase in revenue for Bitcoin miners
Glassnode notes a recovery in mining activities after the slowdown observed following the Chinese ban. Indeed, the current hashrate is approximately 20% higher than in October 2021, when China banned mining activity.
The data analytics firm also revealed increasingly fierce competition among bitcoin miners , despite falling transaction fees. This is probably due to a significant increase in their income. Glassnode indeed said:[Miners earn] $207,000 per Exahash they apply to the network. That’s 40% more revenue than during the final bear market capitulation event of 2018.
Forecasts point to a 60% increase in hash rate by the end of the year. More high-end mining platforms will thus appear on the market, with better services and greater efficiency.
