Bitcoin towards $50,000: Surge in profitable addresses, a giant step towards new highs

As Bitcoin soars to new heights, surpassing $47,000, attention turns to the incredible growth of profitable addresses. With over 90% of BTC addresses now in the green, and a growing number reaching the break-even point, experts are wondering what’s fueling this meteoric rise.

Bitcoin: Record Growth of Profitable Addresses, a Key Step Towards Domination

A dizzying climb has propelled Bitcoin beyond the $47,000 mark, with experts betting on a triumphant return to $50,000 soon. But what are the secrets behind this steep surge? Besides favorable technical indicators, two fundamental drivers are fueling this rally: increasing institutional adoption and the imminent approach of the 2024 halving.

🥳 #Bitcoin is making an end-of-week push toward $50K with just 10 weeks until the #halving. 90.5% of $BTC coins are now in profit compared to the time of their first existence. For comparison, 84.7% of $ETH coins and 79.9% of $XRP coins are in profit. https://t.co/9t046gP3z0 pic.twitter.com/PMZMALH646

— Santiment (@santimentfeed) February 9, 2024

The Bitcoin saga continues, and this time, it’s a staggering growth in the number of profitable addresses that’s catching everyone’s attention. Among the various cryptocurrencies, BTC shines the brightest, with over 90% of addresses in the green. According to data from IntoTheBlock (reported by Coingape), nearly 46.67 million addresses are now in a profitable position, while only 3.81 million are in the red, representing 7.35% of the total.

But most notably, it’s the soaring number of addresses reaching the break-even point, with 1.35 million addresses (2.60%) now in this camp. This surge is largely attributed to recent developments, including the launch of Bitcoin spot ETFs, which have attracted institutional investors’ attention following the United States Securities and Exchange Commission (SEC) approval.

Interest in these ETFs has spiked in recent days, driven by the recent rise in BTC price. Resulting in a net inflow of $541.5 million on February 9th. Although this profitability may fluctuate, it remains a key indicator of the health of the Bitcoin network, testament to its growth and increasing adoption.

Institutional HODLers: The New Players in the Market

As BTC approaches $50,000, institutional investors, also known as HODLers, are making their move. MicroStrategy, a leader in Bitcoin investment, has recently increased its holdings to 190,000 BTC, cementing its status as a pioneer in the field.

Having acquired BTC at an average price of $29,857 in November 2023, the company reported an unrealized profit of $1.1 billion at the same time according to LookOnChain. This bold strategy, proving that BTC can outperform traditional assets like gold, positions MicroStrategy among the most visionary investors in Bitcoin history.

As the bull market seems inevitable, the emergence of institutional HODLers promises a new era for the flagship cryptocurrency.

“””