• 59% of Bitcoin holders are currently profitable as the coin trades above the Realized Price of $19,700.
• On-chain data shows that only 38% of Bitcoin holders are currently out of the money.
• Recent Bitcoin price action suggests a possible recovery, although a comprehensive breakout is still necessary to solidify and revive demand.
The crypto market is constantly changing, and Bitcoin has been no exception. On January 19th, IntoTheblock data showed that 59% of Bitcoin holders were in the green when the coin traded above the Realized Price of $19,700. This realization is a shot in the arm for HODLers, considering the sharp decline in prices over the past few months. After peaking at around $69,000 in November 2021, Bitcoin prices dropped to just over $15,000 in 2022.
On-chain data is an important tool in gauging the state of the market, and analysts use it to interpret price action and inform retail traders. When it comes to Bitcoin, more than half of holders are currently in the money, while only 38% are out of the money. This is a net positive for the ecosystem, although a comprehensive breakout is still necessary to solidify and revive demand.
Recent Bitcoin price action is a good sign, as the coin trades above $20,700. However, some analysts are predicting a 12% decline in the next two weeks, so traders should approach with caution.
Overall, the data is encouraging for the crypto market. The fact that more than half of Bitcoin holders are currently in the green is a good sign for the ecosystem, and suggests that the market is on the road to recovery. However, traders should keep an eye out for any dips in prices over the coming weeks.