According to Glassnode, 87% of all BTC in circulation is now profitable, and in the near future, a many-month-old “bullish” Bitcoin rally may begin.
According to data provided by the analytical firm Glassnode, 87% of the bitcoins in circulation are now profitable - their price is higher than at the time of the last move. In fact, more than 16 million BTC of the 18.4 million coins in circulation remain profitable.
“Historically, when the number of profitable BTCs reached 90% or exceeded this level, this meant the start of a bullish rally,” Glassnode notes in its latest report.
For example, the number of profitable BTCs in October 2016 exceeded 90% when bitcoin rose from an August low of $ 470 above $ 1,100 in the first quarter of 2017.
Bitcoin continued to grow and ultimately reached a historic high of around $ 20,000 in December 2017. Throughout the rally, the volume of profitable bitcoins ranged from 80 to 99%.
In January 2013, the number of profitable BTC exceeded 90% and remained above this level for three months. Then Bitcoin rose to about $ 250 in mid-April. A similar pattern was observed when in mid-November of the same year, the price exceeded $ 1,000.
Thus, if you are guided by historical data, Bitcoin may well begin to grow sharply if and when the number of profitable BTC exceeds 90%. This can happen if the BTC price again exceeds $ 10,000.
At the moment, the rate of bitcoin against the dollar fluctuates around $ 9,750, showing a slight decrease over the past day. This week it was reported that price fluctuations of bitcoin reached a minimum in three months. The last time such a low volatility of BTC was observed before the fall of markets in mid-March.
