Bitcoin long-term holders have realized profits of 3.27 million BTC in the current cycle, surpassing the 2021 cycle, according to data from Glassnode. This development underscores increased sell-side pressure, hinting that the market might be entering the late phase of this cycle.
A Cycle of Profits
For those keeping tabs on the ever-evolving cryptocurrency landscape, the sheer scale of profits realized by Bitcoin holders this cycle is staggering. Since the dawn of 2024, long-term holders—those clutching their Bitcoin for at least 155 days—have cashed in a whopping 3.27 million BTC. This figure not only eclipses the 2021 bull run by a solid margin but also dwarfs the 2013 cycle’s profits. However, it’s important to note that the 2017 bull run remains the heavyweight champion, boasting realized profits of 3.93 million BTC.
Why such a windfall now? Analysts say it’s partly because Bitcoin’s price today is roughly 100 times what it was back in 2015, when it hovered around $1,000. This means the market has absorbed a far larger dollar value in profits, translating into significant sell-side pressure. As discussed in From Bullish to Cooldown: Bitcoin Remains in Profit-Taking Phase as Demand Fades, this trend reflects a broader cooling in demand.
The Market Dynamics
Recent market happenings paint a vivid picture of this dynamic. Just recently, around 80,000 BTC was put up for sale through Galaxy, with an additional 26,000 BTC suddenly becoming active. Altogether, roughly 100,000 BTC have been listed for sale, causing a minor market correction. This activity underscores how liquid and robust the Bitcoin market has become over time.
Exchange-traded funds (ETFs) have played a pivotal role here, facilitating the movement and rotation of capital. Trading volumes have also swelled, indicating a broad expansion across the market. As James Carter, a cryptocurrency analyst at CryptoSavvy, puts it, “We’re observing a market that’s learning to absorb immense sell pressure better than ever before. It’s a sign of maturity.” For more insights into the factors affecting Bitcoin’s current cycle, see Why Is Bitcoin Crawling This Cycle? Analyst Reveals the Hidden Factors.
Historical Context and Future Implications
Looking back, Bitcoin’s journey from its modest beginnings in 2015 to the present day showcases an asset that’s grown not just in price, but in complexity and market participation. The market has evolved, with old, long-dormant coins—often referred to as “OG” coins—coming back into circulation. This ongoing rotation of capital further signifies a maturing market, where even legacy holders decide to cash in their chips.
Yet, despite these positive indicators, there are whispers of caution. Is this a sign of the market reaching its peak, or merely a bump on the road to greater heights? The elevated sell-side pressure could hint at a late-phase cycle, but as always with Bitcoin, the future remains shrouded in uncertainty.
Questions Linger
What lies ahead for Bitcoin and its holders remains anyone’s guess. The market’s ability to stay resilient amid such substantial sell-offs is a promising sign, but it also raises questions about sustainability. Can the market continue to absorb such pressure without buckling? And how will the introduction of new financial products, like ETFs, shape the landscape in the coming years?
In the end, while the current cycle has proven immensely profitable for long-term holders, the real story might just be the market’s capacity to adapt and thrive amid these pressures. As the crypto world watches with bated breath, one thing’s for certain—Bitcoin never fails to keep us on our toes.
Source
This article is based on: Bitcoin Long-Term Holders Have Realized Profits of 3.27M BTC This Cycle, Exceeding 2021 Cycle
Further Reading
Deepen your understanding with these related articles:
- Bitcoin Miners Drain Reserves, Adding Headwinds to BTC Price Outlook
- Is Bitcoin’s 4-Year Cycle Over? Why BTC May Finally Break the Trend
- Bitcoin holders ‘distribute’ as $105K becomes BTC’s last stronghold
Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
