13% of BTC supply returns to profit as Bitcoin sees 'massive' accumulation

CointelegraphPublicado a 2023-01-12Actualizado a 2023-01-12

Resumen

The significance of Bitcoin's weeks-long trading range is all the more apparent with BTC price at one-month highs, says analysis.

Bitcoin (BTC) hodlers are returning to profit as new data hints the BTC price has put in the “foundation” of a macro bottom.

The latest figures from on-chain analytics firm Glassnode shows a large swathe of the BTC supply heading “into the black” as BTC/USD passed $18,000.

Bitcoin establishes "massive" accumulation zone

After gaining nearly 5% in 24 hours, Bitcoin is back on bulls’ radar ahead of a crunch United States inflation data release.

What the impact will be remains uncertain, but on-chain analysis is eyeing a more important phenomenon already playing out on the market.

The latest price uptick has seen a considerable number of bitcoins flip from unrealized loss to unrealized profit — it is now worth more than when it last moved.

If this means that investors who bought below the current spot price are in profit, it suggests that a significant amount of the BTC supply changed hands in an area between there and recent multi-year lows.

”“

This in turn has implications for price performance, as those investors buying in establish formidable price support.

”“

“Simple Bitcoin tools like Supply in Profit return massive edge for those who pay attention,” Checkmate, Glassnode’s lead on-chain analyst, commented about the data.

“What we are looking at is a relatively small price change (~10%), but a massive 13% of all coins returning to profit. This means a foundation of massive capitulation --> accumulation.”

Bitcoin % supply in profit annotated chart. Source: Glassnode/ Twitter

”“

The terms “capitulation” and “accumulation” correspond to classic market cycles, notably that of Wyckoff, which calls for an accumulation period following a macro low, which should later lead to the market’s next bullish phase.

In terms of numbers, at $18,200, 13% of the circulating BTC supply had returned to profit, according to Glassnode.

“The observed sharp move upwards in this metric helps to confirm that a large volume of BTC was acquired between $16.5k and $18.2k,” the firm reiterated.

Mood echoes December highs

Bitcoin at one-month highs meanwhile provides a stark contrast to post-FTX chaos in terms of profitability.

As Cointelegraph reported, in the aftermath of the FTX meltdown, hodlers were sitting on more than half of the supply in unrealized loss.

”“

The picture barely improved in subsequent weeks, with Bitcoin's realized cap drawdown nearing bear market bottom territory.

”“

In December, at the time when BTC/USD last traded above $18,000, Philip Swift, co-founder of trading suite Decentrader, was nonetheless already eyeing a move from capitulation to accumulation.

Lecturas Relacionadas

The Full Story Behind Encryption Unicorn Blockstream's Deep Entanglement in Serious Fraud Allegations

This article details allegations of serious fraud surrounding the crypto company Blockstream, founded by Bitcoin pioneer Adam Back. Investigation account NatInfoSec accuses Blockstream of raising billions through its Blockstream Mining Note (BMN) products, which offer high fixed yields of up to 20% from purported mining revenue. The core allegations are: 1) Blockstream's public mining hash rate (15 EH/s) appears insufficient to cover the massive payout obligations from sold BMN notes, raising questions about the true source of investor payouts. 2) Key executive Christopher William Cook, central to the mining operations, has a prior federal conviction for mail fraud, a fact not disclosed to investors. Cook's background and lavish lifestyle are highlighted as red flags. 3) The structure allows payouts from any source of BTC, not necessarily mining revenue, which critics argue gives it Ponzi-like characteristics. The controversy also touches on Bitcoin Standard Treasury Company (BSTR), a related entity planning a SPAC上市. Critics question whether BMN's liabilities and Cook's record should be disclosed in BSTR's filings. BitMEX Research offered a tempered analysis, confirming Cook's criminal record is likely true and the high yields concerning, but found other claims like insufficient抵押证据 less substantiated. Community debate centers on the need for verifiable proof of Blockstream's mining output and revenue. The article concludes that while fraud is not proven, BMN presents significant, unresolved questions regarding its actual scale, the source of its high fixed returns, the verifiability of its mining operations and payouts, and the full disclosure of associated risks and personnel backgrounds. Blockstream has not yet issued a formal response.

链捕手Hace 24 min(s)

The Full Story Behind Encryption Unicorn Blockstream's Deep Entanglement in Serious Fraud Allegations

链捕手Hace 24 min(s)

Crypto Lobby Pushes Congress To Keep Staking And Mining Tax Bill Intact

Crypto advocacy groups are urging U.S. lawmakers to pass the Tax Clarity for Mining and Staking Act (H.R. 9175) without changes. The bill seeks to clarify that rewards for proof-of-work miners and proof-of-stake validators are taxed only when the assets are sold, not immediately when received. This deferred tax treatment is crucial for operators' cash flow and profitability. The proposal faces opposition from banking interests, who argue it could give crypto yield products an unfair advantage over traditional savings. The outcome will impact network decentralization, as complex tax rules could push out smaller operators. The lobbying effort marks an expansion of crypto's policy focus beyond market structure into tax rules that underpin network economics. The bill's fate depends on whether Congress advances it as a standalone clarification or part of a broader digital-asset package.

bitcoinistHace 53 min(s)

Crypto Lobby Pushes Congress To Keep Staking And Mining Tax Bill Intact

bitcoinistHace 53 min(s)

Legacy Polygon Royalties Contract Exploit Drains $261K Through Reward Logic Flaw

A hacker exploited a legacy Polygon royalties contract, stealing approximately $261,200 in cryptocurrency. Security firm TenArmorAlert identified the attack on June 23. The exploit was made possible by a flaw in the contract's reward calculation logic within the Royal1155LD.beforeLdaTransfer() function. By executing several zero-value transactions, the attacker manipulated reward accounting and token ownership data, artificially inflating balances to enable excessive withdrawals. The attacker also utilized a flash loan to amplify the exploit's profit after repayment. This incident highlights ongoing security risks associated with older, inactive smart contracts that still hold funds, following similar recent exploits. Developers are urged to audit, update, or decommission such legacy deployments to prevent future attacks. The Polygon blockchain's core infrastructure was not compromised.

TheNewsCryptoHace 1 hora(s)

Legacy Polygon Royalties Contract Exploit Drains $261K Through Reward Logic Flaw

TheNewsCryptoHace 1 hora(s)

a16z: In the AI Era, Company Competition for Talent Starts with Job Title Naming

The article discusses how companies in the AI era are competing for talent through strategic "title arbitrage," or the renaming of key roles to reflect and attract new, high-value capabilities. It uses Palantir's creation of the "Forward-Deployed Engineer" (FDE) as a prime example. This title reframed client-facing technical work from a peripheral "implementation" role into a core, high-status engineering function. The move was strategic, allowing Palantir to attract talent that blended technical skill with business acumen and to dominate the market's perception of this capability. The piece argues that job titles are an organizational language that signals the value and authority of certain work. Effective new titles, like "Data Scientist" or "Site Reliability Engineer," emerge when a role's strategic importance genuinely outgrows its old name. Conversely, mere title inflation without substantive change is ineffective. For AI companies, particularly in B2B, this is a crucial strategy. AI transformation creates new high-leverage roles (e.g., "Legal Engineer," "GTM Engineer") that combine domain expertise with technical automation. By naming these roles, a company can help clients internally legitimize these change-makers. This, in turn, builds market mindshare, associating the company with the new capability. In conclusion, as AI blurs the lines between product and service, the ability to accurately name and organize the critical, client-adjacent work that defines product learning will be a key competitive advantage. The first to define this new organizational language plants a flag in the market's mind.

marsbitHace 1 hora(s)

a16z: In the AI Era, Company Competition for Talent Starts with Job Title Naming

marsbitHace 1 hora(s)

CBRS First Post-IPO Earnings Report: Revenue Doubles but Gross Margin Guidance Plummets, OpenAI's Massive Order Faces a Long Road to Realization

Cerebras Systems (CBRS) released its first quarterly report since going public. Q1 core revenue of $191.3M beat expectations, surging 92% YoY, with full-year revenue guidance raised to $855-$865M. However, the company's Q2 gross margin guidance of 36%-38% represents a sharp drop from Q1's 47%, sending shares down over 10% after-hours. Management attributed the margin pressure to temporary costs from leasing back hardware to deploy capacity for OpenAI, highlighting a business model shift from selling chips to selling compute power. While growth is strong, key investor debates center on valuation, customer concentration, and long-term contracts. Revenue remains heavily concentrated (86% from two UAE-linked entities in FY25), though major deals with OpenAI (a $20B+ contract) and AWS provide a long-term growth narrative. Analysts are broadly bullish, citing Cerebras's unique wafer-scale chip architecture as a potential advantage in the AI inference market. However, skeptics point to the narrow moat of its speed advantage, uncertainties around margin recovery amid its business transition, and a high valuation (~50x forward sales) that prices in the flawless execution of its large, long-dated contracts.

marsbitHace 1 hora(s)

CBRS First Post-IPO Earnings Report: Revenue Doubles but Gross Margin Guidance Plummets, OpenAI's Massive Order Faces a Long Road to Realization

marsbitHace 1 hora(s)

Trading

Spot

Futuros