2019 Bitcoin buyers entered profit; Leap to higher levels?
While the recent rise in Bitcoin price has brought another new group of investors into the profit zone, it appears that the digital currency’s break through a key resistance level could potentially provide the potential for a jump to higher levels.
To the report Cryptopotato, Bitcoin continued its recent upward trend this week, hitting new year highs during Monday morning trading hours in Asia.
After this growth, another group of Bitcoin buyers entered the profit zone. According to the analysis company Glassnode, investors who bought Bitcoin in 2019 are once again out of losses. According to the data of this analytical company, the average price of withdrawal from exchanges that year was 21,800 dollars.
The average investor who bought Bitcoin in 2020 and 2022 is still in the losing zone and the price needs to rise above $28,000 to break out. Investors in 2021 are also at a loss on average and won’t see the color of profit until Bitcoin reaches the $38,000 level.
Bitcoin is trying to break through an important technical level
Glassnode also points out in its report that the average price of Bitcoin withdrawals from Coinbase and Binance exchanges was much higher than the overall average.
The realized price of Bitcoin withdrawn from these two exchanges was $21,000, while the overall average price of Bitcoin withdrawn from the exchanges was $16,700.
Additionally, Bitcoin price is nearing its 200-week moving average, which is a key technical level. This moving average is now at $24,835.
The 200-week moving average has been an important long-term support area during past key cycles. Bitcoin price during this bearish period, however, reached below this line and has not been able to make it back to its support level.
However, Bitcoin has managed to regain its realized price level, which is currently at $19,777. The realized price is the total value of bitcoins at the price they were purchased, divided by the number of bitcoins in circulation. This indicator can be considered as an estimate of the amount that all market participants paid (on average) to purchase their bitcoins.
As the price of Bitcoin continues to grow and reach its highest level in 2023, market sentiment remains in positive territory.
Bitcoin at the border of 24 thousand dollars
According to data from CoinGeek, the price of the market’s largest digital currency reached $23,995 in Asian Monday morning trading. This was the highest price that Bitcoin has traded since mid-August; The last time it was worth more than $24,000.
However, at the time of writing, the price of Bitcoin is closing at $23,215 after a negative 0.6% decline in the last 24 hours, while it has seen a 40.2% increase over the past month.
Additionally, the total value of the digital currency market fell to $1.05 trillion after a 1.09% decline the previous day.