Bitcoin’s recent price surge might be slowing, but it’s still looking bullish. A big jump in Bitcoin’s net realized profits suggests a lot of people are cashing in.
Profits Are Up, But Is That a Problem?
Bitcoin’s price dipped a bit recently, but on-chain data shows a huge increase in net realized profits. This means investors are selling their Bitcoin and taking their profits. One market expert, Darkfost, noticed a massive spike in weekly realized profits. This often happens when the market is optimistic but also starting to get cautious. Profit-taking hit a record high, around $3.3 billion, starting in late June. A big chunk of this came from older Bitcoin being sold, especially around July 14th and 15th. However, this intense selling seems to be slowing down now. If this continues, it could give Bitcoin some breathing room to keep climbing.
Long-Term Holders Are Moving
Meanwhile, long-term Bitcoin holders (those who’ve held for 3-5 years) are also moving a significant amount of Bitcoin – over 10,600 BTC, or about $1.3 billion. This could mean several things: profit-taking, repositioning their investments, or getting ready for a big market shift. Whatever the reason, this activity from seasoned investors often happens before major price changes.