Bitcoin Price Surge Makes History As Rally Sees 40M Holders In Profit

Bitcoin, the world's largest crypto asset by market capitalization, has made history as it now has more wallet addresses in profit than ever before despite its price being 50% below its all-time high.

Bitcoin surged last week above the $35,000 price level and may be nearing an 18-month high, but aside from sparking renewed interest from institutions, it also made impactful changes in investor profitability.

Data from on-chain market intelligence firm Glassnode revealed that the number of wallets in profit as of Monday was 39.1 million, which is by far the highest number ever recorded for the crypto asset, surpassing the 38.1 million peak seen in November 2021.

In terms of percentage, in-profit addresses set a new 18-month record high of 81.1%, surging to 80% from 60% over the past couple of months.

The number of wallet addresses at loss stands at more than nine million, which is a far cry from its peak last December. At the time, 90 million wallets were at loss following the spectacular collapse of the crypto empire FTX.

Analytics platform Kaiko reported a noticeable change in the crypto market's structure for the first time in six months.

It noted that while there had been a slump in volatility and even a slowdown in the trading volume in summer, things had drastically changed over the past couple of weeks because of the false report related to BlackRock's spot Bitcoin ETF application with the Securities and Exchange Commission (SEC).

"With 81% of the supply in a profitable state, the market's overall sentiment is notably positive," Bitfinex said in a report seen by International Business Times, highlighting that while "a significant proportion of investors are now in the green, long-term holder profit-taking is minimal." This kind of action is typical after a sharp uptick in a bull market and is often followed by a phase of sideways movement or correction.

BTC was trading in the green zone at $34,458.54 as of 4:06 a.m. ET on Wednesday, with a 24-hour trading volume down by 14.32% at $14,806,736,809. It represents a 1.0% increase in the last 24 hours and a 1.8% gain over the past seven days.

Bitcoin's total circulating supply stands at 19,528,018 BTC, with its value up by 1.03% at a $673,053,526,150 market cap, latest data from CoinMarketCap showed.