Bitcoin’s journey to break the $70,000 barrier hit a snag as its upward momentum was halted by a surge in monetization activity.
Take Profit Patterns and Trends
Bitcoin’s recent 16% correction was very similar to the pre-halving decline seen in previous cycles, according to analysis by Glassnode on March 26. This adjustment has resulted in a significant shift from ‘gains’ to ‘losses’ for BTC holders, with the majority now holding over $61.2K in assets at cost.
like Bitcoin At its recent peak, Glassnode reported over $2.6 billion in realized profits secured through on-chain transactions. Long-term holders, including investors sold out of GBTC Trust, accounted for approximately 40% of this revenue generation and witnessed significant outflows.
As follows #Bitcoin When the market hit resistance at the new ATH of $73,000, a group of long-term holders increased overall circulation pressure.
As investors begin to chip in, the market is now seeing realized profits of more than $2.6 billion per day.
Find out more here… pic.twitter.com/YHXRnbUnFR
— glassnode (@glassnode) March 26, 2024
Market reaction and behavior
Grayscale’s GBTC Trust has experienced significant outflows since converting to a spot ETF in January, but the newly introduced ETF has absorbed those outflows and then some. The remaining $1.56 billion of realized gains came from short-term holders, leveraging market liquidity and momentum, mirroring patterns observed at the peak of previous cycles.
Glassnode emphasized that profit-taking behavior closely matches historical market patterns during all previous cycle all-time high breakouts. This reassures investors that such behavior is common in mature markets.
Market overview and altcoin movements
The price of Bitcoin remained relatively stagnant, hovering around $70,000, down slightly by 4.6% from its recent high. Nonetheless, the overall cryptocurrency market capitalization is $2.79 trillion, just 9.4% off the all-time high set in November 2021.
Most altcoins were flat during the Asian trading session, but BNB, Governor, SHIBICP showed a small gain.