{"id":13859,"date":"2021-10-15T01:00:00","date_gmt":"2021-10-15T01:00:00","guid":{"rendered":"http:\/\/ci028fae57a0002478"},"modified":"2021-10-15T01:00:00","modified_gmt":"2021-10-15T01:00:00","slug":"bitcoin-price-approaching-all-time-high-supply-reaching-profit","status":"publish","type":"post","link":"https:\/\/bitcoinmagazine.com\/markets\/bitcoin-price-approaching-all-time-high-supply-reaching-profit","title":{"rendered":"As The Bitcoin Price Approaches All-Time Highs, How Much Supply Is In Profit?"},"content":{"rendered":"<div id=\"bsf_rt_marker\"><\/div><p><strong><em>The below is from a recent edition of the Deep Dive, Bitcoin Magazine&#8217;s premium markets newsletter. To be among the first to receive these insights and other on-chain bitcoin market analysis straight to your inbox, <\/em><a href=\"https:\/\/members.bitcoinmagazine.com\/\"><em>subscribe now<\/em><\/a><em>.<\/em><\/strong><\/p>\n<h2>Supply In Profit<\/h2>\n<p>As we approach bitcoin price all-time highs, we will start to see the percentage of circulating supply in profit climb up to 100%. More importantly, we will see long-term holder supply climb to higher profit ranges. Since long-term holders are driving the market with 81% of circulating supply, their profit-taking behavior is key to identifying when the market may cool down as price starts to rip up to new highs. Long-term holders realizing huge profits into previous ATHs signaled the spot market cooling down as derivatives markets took over. <\/p>\n<p>Currently, 95.2% of all bitcoin supply is in profit. During bull cycle top run-ups, supply can exist over 95% in profit for several weeks before healthy drawdowns. Even after these drawdowns, the larger trend can exist for months during bull cycles.&nbsp;<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/bitcoinmagazine.com\/wp-content\/uploads\/2024\/11\/952-of-circulating-bitcoin-in-profit.png\" title=\"\"><\/figure>\n<h2>Supply In Loss<\/h2>\n<p>The bitcoin supply in loss has hit a six-month low. This further shows how little stands in the way between new all-time highs; any holder that wishes to exit at breakeven cost will likely have the opportunity over the coming days\/weeks ahead.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/bitcoinmagazine.com\/wp-content\/uploads\/2024\/11\/bitcoin-supply-in-loss-hits-six-month-low.png\" title=\"\"><\/figure>\n<p>With the feverish increase in holdings by long-term holders since the middle of 2021, the percentage of supply held by said holders continues to break all-time highs. <\/p>\n<p>A different (inverse) look, showing the percentage of short-term holder supply, shows the historic supply squeeze currently taking place. Historically, when short-term holder supply approaches approximately 20%, a bitcoin move upwards is in play. The proverbial spring looks to be as coiled as ever.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/bitcoinmagazine.com\/wp-content\/uploads\/2024\/11\/all-time-low-short-term-bitcoin-holder-supply.png\" title=\"\"><\/figure>\n<figure><img decoding=\"async\" src=\"https:\/\/bitcoinmagazine.com\/wp-content\/uploads\/2024\/11\/screen-shot-2021-06-22-at-101721-am.png\" title=\"\"><\/figure>\n","protected":false},"excerpt":{"rendered":"<p>As we approach bitcoin price all-time highs, we start to see the percentage of circulating supply in profit reach 100%.<\/p>\n","protected":false},"author":2736,"featured_media":5351,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[34],"tags":[85,132,792],"class_list":{"0":"post-13859","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-markets","8":"tag-bitcoin-magazine-pro","9":"tag-bitcoin-price","10":"tag-bitcoin-supply"},"author_data":{"id":2736,"name":"Dylan Leclair And Sam Rule","nicename":"dylan-leclair-and-sam-rule","avatar_url":"https:\/\/secure.gravatar.com\/avatar\/2b6b26c44e1d269b6e0f99be25243a520901d88fba7899ea664ee1c543b3ff6d?s=96&d=robohash&r=g"},"featured_image_url":"https:\/\/bitcoinmagazine.com\/wp-content\/uploads\/2024\/11\/img_6427.png","_links":{"self":[{"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/posts\/13859","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/users\/2736"}],"replies":[{"embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/comments?post=13859"}],"version-history":[{"count":0,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/posts\/13859\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/media\/5351"}],"wp:attachment":[{"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/media?parent=13859"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/categories?post=13859"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bitcoinmagazine.com\/wp-json\/wp\/v2\/tags?post=13859"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}