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Bitcoin is still “largely profitable” despite months of sideways BTC price action, says new research.
In the latest edition of its weekly newsletter, <a href="https://insights.glassnode.com/the-week-onchain-week-25-2024/" target="_blank" rel="noopener nofollow">The Week On-Chain</a>, published on June 18, analytics firm Glassnode dispelled myths over investors’ unrealized losses.
<h3 data-ct-non-breakable="true" id="btc-price-analysis-flags-investor-boredom-and-apathy">BTC price analysis flags “investor boredom and apathy”</h3>
Bitcoin (<a href="https://cointelegraph.com/bitcoin-price">BTC</a>) may be trading within a rigid corridor, but the majority of hodlers are not seeing a return on investment evaporate as a result.
Summarizing current BTC price behavior as “establishing equilibrium,” Glassnode pointed to multiple on-chain metrics showing Bitcoin in a period of consolidation — not capitulation.
“Sideways price movement tends to manifest as investor boredom and apathy, which appears to be the dominant response across all Bitcoin markets,” it wrote. 
<blockquote data-ct-non-breakable="true">
 “BTC prices are consolidating within a well-established trade range. Investors remain in a generally favourable position, with over 87% of the circulating supply held in profit, with a cost basis below the spot price.”
</blockquote>
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-06/8b55426b-b5f7-4c12-ac1f-aa853cb8d6b6.png" alt="" title="">
 <figcaption style="text-align: center;">
 Bitcoin % supply in profit (screenshot). Source: Glassnode
 </figcaption>
</figure>
Using the market value to realized value (MVRV) metric, researchers showed that on aggregate, a given amount of BTC is still up by more than two times, or 120%, versus its purchase price in United States dollar terms. The one-year average value of MVRV is currently 86%.
“The MVRV Ratio remains above its yearly baseline, suggesting that the macro uptrend remains intact,” accompanying commentary added.
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-06/e6cbf140-2bc1-428a-aef7-b2e7961f96ea.png" alt="" title="">
 <figcaption style="text-align: center;">
 Bitcoin MVRV momentum (screenshot). Source: Glassnode
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<h2 data-ct-non-breakable="true" id="bitcoin-speculators-refuse-to-capitulate">Bitcoin speculators refuse to capitulate</h2>
The newsletter’s mood contrasts with some of the more panicked reactions to this week’s BTC price drop.
Related:&nbsp;<a href="https://cointelegraph.com/news/bitcoin-price-banana-zone-crypto-analysts-key-metrics">Bitcoin ‘Banana Zone’ is next if these 3 indicators play out</a>
As <a href="https://cointelegraph.com/news/bitcoin-analyst-buying-btc-lower-3-trendlines-fail">Cointelegraph continues to report</a>, traders are wary of support trendlines disintegrating and multimonth lows reappearing as a result.
Among the most important lines in the sand now on the radar is the <a href="https://cointelegraph.com/news/buy-the-dip-bitcoin-price-1-month-lows-64k">aggregate purchase price</a> for Bitcoin’s speculative investor base, the so-called short-term holders (STHs).
The latest <a href="https://www.lookintobitcoin.com/charts/short-term-holder-realized-price/" target="_blank" rel="noopener nofollow">data</a> from statistics resource LookIntoBitcoin puts the STH cost basis at $64,000.
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-06/b73a7b51-9eb6-4a51-ae60-87e5233d3957.png" alt="" title="">
 <figcaption style="text-align: center;">
 Bitcoin STH realized price. Source: LookIntoBitcoin
 </figcaption>
</figure>
Despite seeing unrealized gains fading, STH entities themselves are not preparing for a mass sell-off at current prices, Glassnode states.
“At present, Short-Term Holders are sending around +17.4k BTC/day to exchanges,” it calculated. 
<blockquote data-ct-non-breakable="true">
 “However, this is markedly lower than the peak of +55k BTC/day recorded as the market hit the $73k ATH in March, where speculation levels were becoming excessive.”
</blockquote>
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-06/324354d5-614b-43e6-bf23-f22c1a3611e5.png" alt="" title="">
 <figcaption style="text-align: center;">
 Bitcoin exchange inflows (screenshot). Source: Glassnode
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This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

Bitcoin price uptrend ‘intact’ with hodlers 120% in profit — Research

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