Recent trends show that Bitcoin (BTC) has witnessed a notable downturn, resulting in a decrease in the percentage of profitable network addresses. Despite the drop in the past week to $67,237.24, a 3% decrease, the number of profitable addresses has dipped below the previous 100% figure.
Network Activity and Profitability Metrics
Analytics from IntoTheBlock reveal a 4.02% reduction in daily active Bitcoin addresses, now totaling about 930,730. The proportion of profitable “In the Money” addresses now stands at 96.39%, a decline from the perfect score during Bitcoin’s recent peak price. Address statistics show 870,100 inactive addresses, and the break-even addresses count at 1.01 million. A price retest between $68,992.54 and $72,500.92 might be necessary for Bitcoin to regain full profitability.
Investor Behavior and Market Indicators
Whale investors, including BlackRock and spot Bitcoin ETF issuers, along with MicroStrategy’s significant purchase last week, could prove pivotal in Bitcoin’s price direction. Despite this, a considerable 46.98% decline in substantial transactions signals a potential shift in market sentiment. Trading volumes have fallen sharply, suggesting a possible market correction period that, according to analysts, could prelude a price recovery. Future market events, such as the expected Bitcoin halving, could stabilize the price around $65,000.