Bitcoin Supply In Loss Reaches Highest Value Since COVID Crash

BitcoinistPubblicato 2022-04-29Pubblicato ultima volta 2022-04-29

Introduzione

On-chain data shows the amount of Bitcoin supply in loss has now risen to the highest value since the COVID-19...

On-chain data shows the amount of Bitcoin supply in loss has now risen to the highest value since the COVID-19 crash.
Bitcoin Supply In Loss Now Measures Around 7.6M BTC
As pointed out by an analyst in a CryptoQuant post, the BTC supply in loss hasn’t shown such high values since the first half of 2020.
The “BTC supply in loss” is an indicator that measures the total amount of Bitcoin that’s currently being held at a loss.
The metric works by checking the on-chain history of each coin to see what price it was last moved at. If this earlier price was greater than the current value, then the coin is counted as being in loss.
When the value of this metric goes up, it means more investors are coming into the red. High values are usually observed following crashes in the price of the crypto.
On the other hand, a downtrend in the indicator would suggest more of the Bitcoin supply is coming into the green.
Now, here is a chart that shows the trend in the BTC supply in loss over the past few years:

Looks like the value of the indicator has risen recently | Source: CryptoQuant
As you can see in the above graph, the Bitcoin supply in loss has observed an uplift in recent weeks. The metric’s value is now around 7.6 million BTC.
Such a high value hasn’t been seen since the first half of 2020, where the COVID-19 crash rapidly sent supply into loss.
Usually, as coins get more into the red, investors become more likely to capitulate in order to cut off their losses and exit the market.
It remains to be seen how holders react to such a large portion of the supply being in loss this time as it has been a while since the market last observed such a trend.
BTC Price
At the time of writing, Bitcoin’s price floats around $39.6k, down 6% in the last seven days. Over the past month, the crypto has lost 15% in value.
The below chart shows the trend in the price of the coin over the last five days.

The price of BTC seems to be slowly rebounding back from the plunge a couple of days back | Source: BTCUSD on TradingView
Bitcoin showed a brief sign of upwards momentum a few days back, but it wasn’t long until the coin dropped back to the below $40k levels.
At the moment, it’s unclear when the crypto may see any real recovery and escape this seemingly endless consolidation.

Letture associate

Sam Bankman-Fried Wants A New Token To Repay FTX Victims, But Could It Happen?

Sam Bankman-Fried (SBF) is reportedly expressing a personal hope for a new token project to repay FTX victims. However, this claim is heavily caveated by his legal reality. A US appeals court recently upheld his 25-year prison sentence, creating significant barriers to him launching any such project. The article frames these comments as subjective and not an active, credible plan. While the idea attracts attention due to FTX's massive collapse and the broader question of using tokens for restitution, the story emphasizes the legal and practical hurdles. The core narrative is the tension between SBF's reported personal aspiration and the established legal proceedings governing victim repayment.

bitcoinist4 h fa

Sam Bankman-Fried Wants A New Token To Repay FTX Victims, But Could It Happen?

bitcoinist4 h fa

BlackRock Launches Covered-Call Bitcoin ETF Under BITA Ticker

BlackRock has launched the iShares Bitcoin Premium Income ETF (ticker: BITA), a new bitcoin product that generates income using a covered-call options strategy linked to its iShares Bitcoin Trust (IBIT). Unlike a plain spot bitcoin ETF, BITA aims to provide monthly income by selling call options, offering investors a yield-focused alternative to direct bitcoin holdings or DeFi protocols. This strategy involves a trade-off: it can perform well in sideways markets by collecting premiums but may underperform pure spot bitcoin during strong rallies. The launch signals the evolution of the bitcoin ETF market beyond simple access products toward sophisticated strategies like income generation and hedging. BITA is targeted at investors and advisors who believe in bitcoin's long-term thesis but seek a smoother, income-oriented product within a traditional brokerage account. It is not a replacement for spot bitcoin exposure but rather a different tool that packages bitcoin's volatility into a strategy familiar to traditional markets. Understanding this trade-off is crucial for evaluating its performance, especially during major bitcoin price increases.

bitcoinist6 h fa

BlackRock Launches Covered-Call Bitcoin ETF Under BITA Ticker

bitcoinist6 h fa

David Schwartz Backs XRP Ledger 3.2.0 Upgrade With Major XRPL Hub Move

David Schwartz, co-creator of XRP Ledger and Ripple's CTO, has moved a major XRPL hub to version 3.2.0, a transition completed in under ten minutes. This upgrade follows the ledger's core software being renamed "xrpld" to distinguish it from Ripple. Key improvements include up to 40% better memory optimization and the fixCleanup3_2_0 amendment, enhancing security for features like vaults and decentralized exchanges. The update also introduces new tools for developers and invariant checks for ledger integrity. Concurrently, network governance updates include changes to the Unique Node List. The move underscores the commitment to maintaining the latest software across the XRPL ecosystem.

TheNewsCrypto7 h fa

David Schwartz Backs XRP Ledger 3.2.0 Upgrade With Major XRPL Hub Move

TheNewsCrypto7 h fa

Why Is the World Nervous About Japan Raising Interest Rates?

In June 2026, the Bank of Japan raised its policy rate to 1%, marking its first hike to this level since 1995. While this rate remains low compared to global peers like the US and Europe, the move signals a profound shift for a nation that has been a global source of ultra-cheap funding for decades. Japan's long-standing near-zero or negative interest rates had facilitated massive "yen carry trades," where international investors borrowed low-cost yen to invest in higher-yielding assets worldwide, such as US tech stocks and emerging market bonds. This made Japan a critical, often overlooked, source of global liquidity. Japan's ultra-loose policy stemmed from structural challenges post-1990s asset bubble: aging demographics, chronic low inflation/deflation, and high public debt. Recent shifts, including sustained wage growth (exceeding 5% in recent years) and inflation consistently above the 2% target, have created a "wage-price spiral" possibility, prompting the policy normalization. The global market's concern lies not in the absolute rate but in the potential unwinding of the yen carry trade. As Japanese borrowing costs rise, the economics of these leveraged global investments change, potentially triggering deleveraging and capital outflows from risk assets. Market anxiety focuses on the end of a thirty-year consensus that Japan would perpetually provide cheap funding. Ultimately, the global impact will depend on the interplay with US monetary policy. While Japan is tightening, the significant interest rate differential with the US remains. The key future dynamic is whether simultaneous Japanese hikes and eventual US rate cuts will narrow this gap, forcing a major recalibration of global capital flows and asset pricing built on an era of abundant, cheap yen liquidity.

marsbit8 h fa

Why Is the World Nervous About Japan Raising Interest Rates?

marsbit8 h fa

Congress Advances CBDC Ban Until 2030 Through Major Housing Reform Bill

Congress has passed the 21st Century Road to Housing Act, a bipartisan bill primarily focused on housing reform to improve affordability and supply. Included within it is a significant provision that bans the Federal Reserve from issuing a central bank digital currency (CBDC) or "digital dollar" before December 31, 2030. The measure defines a CBDC as a dollar-denominated digital asset, a direct liability of the Fed, accessible to all Americans. Proponents argue the ban allows more time to study a digital dollar's impacts and addresses concerns about privacy, financial surveillance, and government overreach in digital payments. The provision specifically targets a retail CBDC but does not restrict permissionless blockchain networks. This crypto-related language, embedded in broader housing legislation, has drawn considerable attention for its potential to shape the future of digital assets and payments in the U.S. The bill's final passage will determine if the ban takes effect for the next decade.

TheNewsCrypto9 h fa

Congress Advances CBDC Ban Until 2030 Through Major Housing Reform Bill

TheNewsCrypto9 h fa

Trading

Spot

Futures