Realized loss for Bitcoin investors hit a historic $7.3 billion over just three days last week, according to data from analytics firm Glassnode.
According to the firm’s data, investors reeling from the sustained selling pressure exited the positions they had taken at much higher prices, leading to the huge realized loss. In terms of definition, Glassnode looks at realized loss based on when a coin moves and its price – basically it shows the difference between the last price and the current price.
Long-term holders selling
As Bitcoin price crashed, investors quickly sold off roughly 555,000 BTC in the $23,000-$18,000 price range.
In particular, this included 178,000 BTC held by long-term holders, with some of the sold coins acquired at $69,000 – the price that marked Bitcoin’s all-time high in November 2021. The group of sellers suffered a -75% drop of his investment.
On average, LTH sold 1.31% of their total holdings, with aggregate long term investor balances shrinking to levels last registered in September last year.
“If we assess the damage, we can see that almost all portfolio cohorts, from shrimp to whales, are now holding massive unrealized losses, worse than March 2020. The least profitable portfolio cohort holds $1-100 BTC and has unrealized losses equal to 30% of market capitalization“, Glassnode wrote.
Bitcoin was trading around $20,190 on Monday evening, with intraday lows of $19,700 and intraday highs of $20,900 making the $21,000-$23,000 level a potentially new resistance zone.
