Bitcoin’s price is on the run again, as the asset has jumped past $65,000 for the first time in a month.
This has more than 90% of its holders in profit, which could actually mean danger for the largest cryptocurrency.
Bitcoin is steadily climbing, and with it, the number of holders in profit.
If $BTC breaks $65k, well over 90% of holders will be in profit; a level we last saw in July, when Bitcoin ultimately failed to reach a new high.
The question now is: will this time be different? pic.twitter.com/hs156tGzfy
— IntoTheBlock (@intotheblock) September 26, 2024
IntoTheBlock’s tweet was just minutes ago, but the landscape has already changed. It reads that over 90% of BTC investors would be in profit should the underlying asset’s price break above $65,000.
The cryptocurrency stood at around $64,000 but went on the offensive in the following minutes and surged to $65,260. This has become its highest level since August 2nd and is the third occasion since then when BTC’s price has tapped $65,000.
Bitcoin/Price/Chart 26.09.2024. Source: TradingViewNevertheless, reaching such high levels of investors in profit could result in potential price corrections. This is because many tend to offload their assets in such environments when their holdings are in the green.
This is what transpired back in July when the holders in profits reached the same levels of over 90%. In the following months, BTC’s price crashed as many realized profits.
CryptoPotato reported earlier today that the cryptocurrency’s price could be in trouble in the short term due to the massive sell-offs initiated by large investors known as whales. In the span of 24 hours, they offloaded $1.28 billion worth of BTC.