Data from on-chain analytics firm Glassnode shows that more than a third of BTC supply is held by long-term transactors (LTHs) – a new all-time high.
Long term holders incur unrealized losses
Profitability has taken a serious hit in recent days, and the on-chain data confirms even the most experienced investors.
As BTC/USD collapsed to a two-year low of $15,600, investors started to lose big, and at the current levels of $17,200, things are not much better.
Glassnode shows that LTHs held 35.4% of the BTC supply – more than 5.9 million coins – at a loss on November 9, falling just 1% on November 10.
Short-term holders (STHs) held another 17% of supply at a loss, and STHs in earnings accounted for just 0.06% of supply on November 9.
The relative width of Bitcoin LTH/STH in a profit/loss chart. Source: Glassnode
A wallet address is categorized as LTH or STH if you hold coins for more than 155 days or less, respectively.
The total number of bitcoin taking profit – 50% – is now at its lowest since March 2020 in the wake of the COVID-19 crash.
Bitcoin % address in profit chart. Source: Glassnode
BTC/USD is witnessing an unprecedented trend line cross
Other on-chain numbers underscore how profitability has managed to fall so low.
Related: Bitcoin Soars $1K in Minutes as CPI Data Deals with Fresh 2% Drop in DXY
According to data from Cointelegraph Markets Pro and TradingView, Bitcoin has seen its 200-day moving average (MA) drop below its 200-week counterpart for the first time ever.
In other words, the price of bitcoin in the past 200 days has been, in relative terms, uniquely low compared to historical patterns.
Popular Twitter analytics account TXMC Trades commented: “This is a new one.”
BTC/USD 1-week candlestick chart (Bitstamp) with a 200-day and 200-week moving average. Source: TradingView
As Cointelegraph reported, the 200-week moving average is a major bear market price line in the sand that Bitcoin has consistently breached this year.
However, the trend line continues to increase and has never decreased.
The views and opinions expressed herein are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risks, you should do your own research when making a decision.
