Bitcoin Diamond

Diamond Hands

Diamond

On-chain data shows the Bitcoin traders who bought during the 2021 bull run are finally nearing their break-even following the latest price surge. 
<h2 id="bitcoin-diamond-hands-holding-since-2021-bull-run-are-close-to-break-even">Bitcoin Diamond Hands Holding Since 2021 Bull Run Are Close To Break-Even</h2> 
As explained by CryptoQuant founder and CEO Ki Young Ju in a new <a href="https://twitter.com/ki_young_ju/status/1756903225813327886" target="_blank" rel="noopener nofollow">post</a> on X, the cryptocurrency’s price is finally approaching the cost basis of the 2021 bull run buyers. 
The relevant on-chain indicator here is the “<a href="https://bitcoinist.com/bitcoin-retests-realized-price-will-rally-be-saved/" target="_blank" rel="noopener ">Realized Price</a>,” which tracks the price at which the average investor in the sector acquired their Bitcoin. 
When the asset’s spot price is above this metric, it means that the holders are now holding their coins at a profit. On the other hand, the price being below the indicator implies the overall market is in a state of loss. 
Naturally, the Realized Price being exactly equal to the spot price suggests the average holder can be assumed to be just breaking even on the investment they put it. 
In the context of the current topic, the Realized Price of the entire market isn’t of interest, but rather of specifically those who bought around the time of the <a href="https://bitcoinist.com/bitcoin-volume-79-lower-2021-bull-run-glassnode/" target="_blank" rel="noopener ">2021 bull run</a>. 
They would approximately be the Bitcoin holders of the 2- to 3-year-old UTXO Age Band. In simple terms, “UTXO Age Bands” refer to groups of tokens (specifically, unspent transaction outputs or UTXOs) divided based on age. 
The 2 years to 3 years ago range corresponds to the year between February 2021 and February 2022, roughly the time of the last bull run. Now, here is a chart that shows the trend in the Realized Price specifically for these BTC investors: 
<img loading="lazy" decoding="async" class="alignnone aligncenter" src="https://pbs.twimg.com/media/GGHDJPKWQAA8dy9?format=jpg&amp;name=large" alt="Bitcoin Realized Price" width="1346" height="946"> 
As displayed in the above graph, the Bitcoin Realized Price of the 2- to 3-year-old UTXO Age Band has recently been floating around $49,340. When Ju shared the chart, BTC was trading at $48,300, which meant that the asset was approaching the cost basis of these investors. 
However, Bitcoin has witnessed a strong surge since then, which has meant that it has now broken past this level. This would suggest that the investors who bought during the 2021 bull rally are finally collectively in the green. 
A large chunk of the bull run buyers are bound to have capitulated in the bear market that had followed, but the few investors who decided to persevere through the large losses would have at last got their reward for being <a href="https://bitcoinist.com/how-much-bitcoin-diamond-hands-accumulated-2023/" target="_blank" rel="noopener ">diamond hands</a>. 
These bull-run buyers wouldn’t be carrying any significant gains, but they wouldn’t complain, for they are now at least above water after years of waiting. 
<h2 id="btc-price">BTC Price</h2> 
With its strong surge in the past day, Bitcoin briefly touched the $50,000 level for the first time since December 2021. 
<img loading="lazy" decoding="async" class="alignnone size-medium aligncenter" src="https://www.tradingview.com/x/QrgIZZYs/" alt="Bitcoin Price Chart" width="1534" height="854">

Patience Rewards: 2021 Bitcoin Bull Buyers Back In Green As BTC Hits $50,000

Table of Contents

Bitcoinist

Other articles published on Feb 13, 2024

Crypto Market Under Pressure: The Impact of January’s CPI Figures

School Teacher Turned Crypto Millionaire Reveals The Two Coins He is Betting on in 2024

Exploring the Latest Trends in UMA Coin’s Market Dynamics

Shiba Inu Coin: Shytoshi Kusama Reveals Shiboshi Introduction; What Comes Next?

Binance founder CZ’s sentencing date postponed to late April

Franklin Templeton Has Applied For A Spot Ethereum ETF With The US SEC

Join our free newsletter for daily crypto updates!