Glassnode: The unrealized profits of current long-term holders are far from historical peaks
Glassnode released a report stating that since hitting a historical high of $73,000 in March, the market has been in a sideways consolidation phase. According to its estimates, demand momentum has turned negative since early May.
Glassnode analyzed the cost basis of short-term investors to examine the funds flowing into the market. To analyze supply, it referred to long-term holders and found that their unrealized profits were far from historical peaks statistically. From the consumption behavior of long-term holders, although these participants' consumption only accounts for 4% - 8% of total consumption, profits realized through consumption usually account for 30% - 40% of bull market cumulative profits. This finding highlights that wealth is concentrated in old coins during a bull market.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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