- Bitcoin percentage tokens in profit crosses 73% according to Bitcoin Stock-to-Flow model creator Plan B.
- Bitcoin whales holding between 100 and 100,000 BTC are shedding their holdings and engaging in profit-taking.
- Short-term BTC holders are taking profits at the highest margin in over a year, according to on-chain data.
Bitcoin holders are engaging in profit-taking as the asset crosses a key level, $28,000. Plan B, the creator of the Bitcoin Stock-to-Flow valuation model identified that 73% of all BTC is profitable at the current price. On-chain data shows that short-term BTC holders are taking profits at the highest margin.
Also read: Ethereum holders prepare for Shanghai hard fork, will Ethereum token unlock be delayed?
Bitcoin sharks and whales take profits, slowing down BTC price rally
Bitcoin on-chain data from crypto intelligence tracker Santiment has shown an interesting find. There is a decline in holdings of large wallet investors with 100 to 100,000 Bitcoin. Whales are shedding their Bitcoin as seen in the chart below:
%20[15.11.27,%2030%20Mar,%202023]-638157666666992718.png)
Bitcoin holdings of investors
Despite the US financial regulator’s crackdown on cryptocurrency exchanges and assets, BTC price climbed past resistance at $28,000.
According to Plan B, the creator of the Bitcoin Stock-to-Flow valuation model, 73% of all BTC is currently profitable.
% BTC in profit
At 73%, several Bitcoin wallet addresses are profitable, thus driving profit booking by investors at the current price level.
As more investors engage in profit taking, it is likely that the Bitcoin price rally could get slowed down. There are three conditions to note in the context of BTC’s price rally, according to on-chain data from CryptoQuant.
- Short-term holders are taking profits since the margin is the highest it has been in a year
- Price valuation momentum is increasing and BTC could soon break into overvaluation territory
- Based on data from the Short Term Output Profit Ratio tool, investors are selling BTC holdings at a profit.
Bitcoin is in an uptrend, but for how long?
Whale wallet trackers indicate that over 320,000 BTC were moved or spent by large wallet investors since March 23. CryptoQuant analysts suggest that BTC is currently in a bull market, and a short-term decline in the asset is not indicative of a large-scale consolidation.
Nevertheless, when bulls engage in profit taking it is typically considered a bearish sign. The network activity and whale activity in BTC has soared and combined with the declining holdings of whales, this is indicative of a short-term correction in the asset’s price.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Crypto Today: ETH and Bitcoin stabilize as market digest Trump’s 25% auto tariff
Cryptocurrencies market capitalization surges by $14 billion on Thursday, hitting the $2.83 trillion mark. Bitcoin ETFs brought in another $89.6 million, reaching nine successive days of net inflows, according to Farside data.
Crypto Morning: BlackRock spends $107 million on Bitcoin, stablecoin launches, Shiba Inu boss still offline
BlackRock, a giant with $11.5 trillion in assets under management, spent $107.9 million to fund its BTC purchase on Wednesday. The move is consistent with demand for BTC among institutional investors.
Bitcoin range-bound as momentum indicator shows trader indecisiveness
Bitcoin price hovers around $87,000 on Thursday, as RSI indicator suggests indecisiveness among traders. Glassnode reports that BTC trades in a range-bound market, as on-chain profit-and-loss-taking events are declining in magnitude.
Curve DAO rallies as developer activity hits new ATH
Curve DAO price extends its gains by 8% and trades above $0.58 at the time of writing on Thursday, rallying over 15% so far this week. DefiLlama data shows that the CRV’s developer commits hit a new all-time high (ATH), surpassing 900 commits per month.
Bitcoin: BTC stabilizes around $84,000 despite US SEC regularity clarity and Fed rate stability
Bitcoin price stabilizes around $84,000 at the time of writing on Friday after recovering nearly 2% so far this week. The recent announcement by the US SEC that Proof-of-Work mining rewards are not securities could boost BTC investors' confidence.
The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.