Bitcoin
87% of Bitcoin holders profit despite BTC falling below $64K
Despite the price of Bitcoin struggling to rise since the last rejection of the $70K mark, the vast majority of BTC holders are still profitable.
Although MicroStrategy purchased 11,931 BTC worth $786 million using proceeds from a recent convertible note offering, the slight rise in Bitcoin’s price to above $65,000 ended with the top cryptocurrency back below $64,000 .
Despite that, IntoTheBlock data shows that 87% of BTC holders are still profiting. Most holders are above water, having purchased BTC at relatively lower average prices compared to the current level.
Network data shows that 46.72 million addresses are currently in the money, while 5.68 million, or nearly 11%, hold their coins at a loss. Only 2.67%, or 1.44 million addresses, are in the money having purchased BTC at average prices that match the current trading price.
Bitcoin Price Struggling to Rise
Bitcoin, which reached an all-time high above $73,000 in March, has tanked in recent weeks. BTC fell to lows of $56K in early May before reaching above $71K – with a rejection above this level on May 21 and again in early June.
On Friday, the price of Bitcoin, like that of Ethereum, fell more than 3%, to less than $64,000 and less than $3,500, respectively.
The price of BTC is currently around $63,700, while ETH changes hands near $3,503. The benchmark cryptocurrency is down 8% over the past 30 days and Ether is down 6%, a performance that comes amid a confluence of negative catalysts.
With bearish sentiment, analysts at IntoTheBlock to see the $61,900 to $63,800 range as a potential key support area.
BTC Liquidation Pressure: What is the Catalyst?
As spot Bitcoin ETFs see net outflows, miners have continued to sell post-halving. According to network data, miners sold more than 30,000 BTC in June.
Bitcoin analyst Willy Woo, in a commentary shared via X on Friday, says miner capitulation will likely remain a major negative for BTC in the near term.
“I will summarize in simple terms. When will Bitcoin recover? This is when the weak miners die and the hash rate recovers,” Woo posted.
In the analyst’s opinion, miner capitulation is taking longer than historically seen in the last two post-halving periods, likely due to ordinal sign-ups that have boosted miner profits.
However, this week we saw an increase in selling pressure amid potential dumping by the German government. At the beginning of this year, German police confiscated 50,000 BTC worth $2.1 billion (at the time) from the pirated film website, “Movie2K”. The rise in Bitcoin’s price has pushed the value of the coins to more than $3 billion.
This BTC address linked to the seizure was moved over $110 worth of Bitcoin to exchanges including Kraken and Bitstamp.