Insights

Bitcoin supply in profit and loss has diverged, potentially marking a bottom in cycle

exchange68September 13, 2024

0 1 1 minute read

Definition

The circulating supply in profit, i.e., the amount of coins, the price of which at the time they last moved, was lower than the current price.
The circulating supply in loss, i.e., the amount of coins, the price of which at the time they last moved, was higher than the current price.

Quick Take

Each time Supply in profit/Loss has converged marked a Bitcoin bottom in each cycle, highlighted by the green box.
Bitcoin bottoms in the cycle can be seen in 2011, 2015, 2019, 2020, and 2022, marked by the pink arrow.
Roughly 12.5m Bitcoin is sitting in profit, the most since March ’22, just before the collapse of Luna.

Supply in Profit/Loss: (Source: Glassnode)

Analyst

James Van Straten

Former Lead Analyst at CryptoSlate

James fervently appreciates data, technology, and trend-spotting. As a tech and liberty maximalist, he hails Bitcoin as the 21st century’s paramount invention.

Disclaimer: Our writers’ opinions are solely their own and do not reflect the opinion of CryptoSlate. None of the information you read on CryptoSlate should be taken as investment advice, nor does CryptoSlate endorse any project that may be mentioned or linked to in this article. Buying and trading cryptocurrencies should be considered a high-risk activity. Please do your own due diligence before taking any action related to content within this article. Finally, CryptoSlate takes no responsibility should you lose money trading cryptocurrencies.