The Bitcoin market just suffered one of the worst crashes in its 12-year history. And yet, despite the massive drawdown over the last several days, most Bitcoin investors are still in the profit.
In a report released this week, the firm noted that “The Bitcoin market has just experienced the largest deleveraging event since the March 2020 sell-off”—but when it was all said and done, the coin holders at a loss are “largely buyers from the last 3-4 months.”
“During this capitulation sell-off, however, the spending of 1y-3y old coins was actually significantly less and declining as a proportion of total activity,” the report added. “This suggests that old hands did not panic sell nor rush for the exits.”