All Bitcoin cohorts are in profit for the first time since October 2021

Quick Take

Recent CryptoSlate analysis revealed a significant shift in the crypto market sentiment influenced by profitable Bitcoin withdrawals from exchanges.

The average withdrawal prices for cohorts categorized by date paint an intriguing picture of the market-wide cost basis. The all-time average withdrawal price stands at $12,003, escalating gradually with every passing year and reaching $34,706 in 2021. A noteworthy observation is this is the first instance since October 2021 that all yearly cohorts have been in profit.

Year Realized Price
All-time $12,003
2017+ $16,109
2018+ $19,540
2019+ $22,590
2020+ $26,693
2021+ $34,706
2022+ $27,001
2023 $27,198

Table showing the realized price for cohorts categorized by date from 2017 to 2023 (Source: Glassnode)

The 2021 cohort, which previously realized a price of almost $50,000, has successfully dollar-cost averaged its realized price to $34,706. This indicates a strategic shift from unrealizing or realizing losses to recording profits or unrealized profits. This trend has resulted in a massive transformation in market sentiment, with holders now more inclined towards profit-taking.

Graph showing the average exchange withdrawal price for yearly cohorts from January 2019 to November 2023 (Source: Glassnode)

Despite Bitcoin’s significant leap to $38,000 on Nov. 9, only $1 billion of profit was realized. This may seem marginal compared to the bull market of 2021, but consistent profit-taking over the past few weeks suggests that investors’ appetite for higher gains remains strong.

Net Realized Profit/Loss: (Source: Glassnode)
Graph showing Bitcoin’s Net Realized Profit/Loss in 2023 (Source: Glassnode)

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