Despite recent market volatility, Bitcoin holders remain committed to their investments, with data showing a significant portion continuing to hold on to their assets. Analysis from Glassnode indicates that a majority of Bitcoin investors are undeterred by price fluctuations, exhibiting a strong resolve in retaining their digital currency holdings.
Resilience Among Bitcoin Investors
Glassnode’s analysis highlights the tenacity of Bitcoin holders over different holding periods. It shows a notable persistence in ownership, with 69.6% of one-year holders keeping their Bitcoin, followed by 56.4% for two-year holders. Even over a three-year span, 43.5% have resisted the urge to sell, and 31.5% have held for five years, indicating a trend of long-term confidence in the cryptocurrency.
Bitcoin’s Profitability for Holders
When focusing on profitability, the study conducted by Santiment on Market Value to Realized Value (MVRV) ratios for Bitcoin reveals a generally profitable scenario for those who held over the past five years. The one-year MVRV stood at 25.4%, meaning a significant number of investors who bought Bitcoin in the previous year are now in profit. This segment has seen profitability since August 2023, with the value peaking near 51% in December.
The two-year MVRV was around 39%, showing a rapid increase above zero in October and a January peak exceeding 55%. Similarly, the five-year MVRV was at approximately 38%, climbing above zero around the same time as the two-year and peaking at 54% in January 2024. These figures demonstrate the varying degrees of profit retained by Bitcoin investors across different holding times.
Amidst these findings, Bitcoin’s price hovers around the $43,000 mark, showing a relatively stable position with a marginal 0.01% decline. This stability suggests that, despite the ups and downs, Bitcoin’s value remains robust, supported by a community of investors who believe in its long-term prospects.