Bitcoin's Profit Overhang Reaches Critical Mass

Bitcoin's latest price surge has left $47 billion worth of supply in profit. According to Glassnode, 68% of circulating Bitcoin is now profitable at current prices, up from 65% when it traded near $78,536 in May.

This increase translates to roughly 600,000 additional Bitcoins that could be sold for a gain before reaching its next major resistance band.

The short-term holder cost basis has reset lower by months of trading through the June-to-August range, meaning buyers who accumulated during this period are already profitable at today's price.

However, the profit overhang is not limited to new buyers. Glassnode's research also identifies a large pool of long-term holders concentrated between $83,000 and $86,000, who have been holding onto their coins since the correction began.