Bitcoin’s unrealized profit stands at $1.2 trillion, with most investors sitting on strong gains but showing no signs of distribution.
Long-Term Holder supply hits 14.7M BTC, while realized profits fall sharply despite Bitcoin trading near its all-time high.
ETF inflows hit $298M average as stablecoin liquidity rotates into BTC, supporting continued market strength and price consolidation.
Bitcoin’s rise to $107,000 has pushed the majority of investors back into profit. However, distribution remains limited as holders show little interest in selling.
Market Stabilizes Following Geopolitical-Driven Volatility
Following a sharp sell-off stemming from increased tensions from Israel and Iran, Bitcoin dipped to $99,000 briefly before the price recovered as a U.S.-brokered ceasefire was put in place and the market calmed down again. During this drop, Bitcoin found support at $98,300, which was also founded at the Short-Term Holder cost basis— a significant level of importance to trends direction historically.
This level has acted as a support zone during previous corrections, suggesting ongoing bullish momentum. Investor behavior at this threshold signals resilience, with market participants maintaining positions rather than exiting. Despite recent uncertainty, the ability to recover and maintain structure reinforces that bulls remain active.
Profitability Metrics Indicate Strong Investor Positioning
According to Glassnode, Bitcoin’s total unrealized profit currently stands at $1.2 trillion. This is derived from comparing the market capitalization of $2.13 trillion and the realized capitalization of $955 billion. These measures confirm the market’s substantial growth and the growing volume of capital stored in Bitcoin.
The MVRV Ratio, which compares market cap to realized cap, shows an average paper gain of 125% per investor. While this is below March 2024’s peak of 180%, it still reflects a healthy level of profitability. Importantly, the realized cap has been rising faster than the market cap, showing strong capital inflows without excessive price increases.
Source. Glassnode
An on-chain profitability oscillator measuring different coin age groups recently moved above its +1 standard deviation level. This move indicates improved profitability across all investor segments and reflects strengthening market sentiment.
HODLing Dominates Despite Market Near All-Time Highs
Glassnode data shows that daily realized profits have declined to around $872 million, far below the $2.8 billion and $3.2 billion levels seen during previous all-time highs. Even as Bitcoin nears record prices, investors are not rushing to lock in gains.
The Long-Term Holder (LTH) supply has now reached an all-time high of 14.7 million BTC. This indicates that more investors are choosing to hold rather than distribute. Coins purchased during the January breakout are maturing into long-term holdings, reflecting constructive market behavior beneath the surface.
The Liveliness metric continues to trend downward, suggesting spending has slowed while HODLing is gaining strength. During earlier peaks, Liveliness rose sharply, but this time, no such pattern has emerged. The market appears less inclined to sell, despite being near previous highs.
Sell-Side Pressure Declines Among Short- and Long-Term Holders
The Sell-Side Risk Ratio is currently low, suggesting a balanced market. Short-Term Holders, who typically react to price movements, are no longer distributing as aggressively. This behavior aligns with the idea that current levels are not attractive enough to warrant selling.
Source. Glassnode
Long-Term Holders have also reduced spending after a brief rise near the recent all-time high. This pattern is reinforced by a drop in realized profit and loss volumes, along with continued accumulation trends. Long-Term Holders appear confident, keeping coins off exchanges and reducing overall volatility.
This behavior reflects a preference for holding rather than rotating into liquidity. Without a fresh wave of profit-taking, Bitcoin’s price may need to shift meaningfully to prompt new market responses. The lack of strong sell-side pressure supports the thesis that the current market is relatively stable.
Institutional Demand and Stablecoin Flows Support Market Equilibrium
Stablecoins are still an essential part of the crypto market liquidity infrastructure. The Stablecoin Supply Ratio (SSR), currently around 1, showing a balance between Bitcoin supply and USD-denominated capital. Compared to the initial breakout above $100,000, current SSR readings suggest improved buying power.
source. Glassnode
The Exchange Buying Power metric, which tracks the flow of stablecoins versus BTC and ETH on exchanges, shows a slowdown in fresh stablecoin inflows. This trend suggests that capital may be rotating from stablecoins into major assets, potentially acting as a source of support for price levels.
Institutional flows remain robust. U.S. Spot Bitcoin ETFs have had continuous net inflows, with a 7-day average of $298 million. The continued demand from institutions will only fuel the positive environment and confidence of buyers, as well as help absorb supply side pressures.
Investor Behavior Suggests Market Poised for Further Expansion
Glassnode’s latest tweet reinforced that as Bitcoin rebounded to $107,000, most holders are back in profit. However, distribution levels remain subdued, with long-term holder supply at record highs. Realized profits continue to decline, and ETF inflows are trending upwards.
https://twitter.com/glassnode/status/1940420472568779004
This confluence of behavior—including strong ETF flows, limited profit-taking, rising realized cap, and consistent HODLing—suggests the market is in a phase of consolidation rather than distribution. The sustained downtrend in Liveliness, in combination with muted sell-side risk, paints a picture of a market where investors are largely comfortable with current positions.
With the market still near record profitability, but without large-scale sell-offs, Bitcoin’s next major move may require a shift in macroeconomic conditions or a renewed wave of demand. Until then, investor posture appears patient and strategically aligned with a longer-term view.
The post Bitcoin Recovery to $107K Sees Holders Return to Profit Amid Decline in Sell-Side Activity appears on Crypto Front News. Visit our website to read more interesting articles about cryptocurrency, blockchain technology, and digital assets.
