Bitcoin’s recent price surge has brought fresh momentum to the cryptocurrency market, reviving investor optimism and reversing losses for millions of holders. According to blockchain analytics firm Glassnode, more than 3 million previously out-of-the-money Bitcoin (BTC) holdings are now back in profit, following a steady rally that has pushed prices to levels not seen in over two months.
As of Wednesday, Bitcoin climbed to $97,900 before settling at $96,554.93—a 2.18% gain over the past 24 hours—according to CoinMarketCap. The move marks a decisive break from the volatility and skepticism that had gripped the market in recent weeks.
Market Sentiment Reverses as Price Recovers
Throughout the recent correction phase, on-chain data revealed growing unease among investors. Retail participants, in particular, expressed concern that Bitcoin could slide further, stoking fears of a return to bear market conditions. Despite these concerns, major long-term investors remained largely bullish, holding their positions through the downturn.
Bitcoin’s rebound toward the $98K mark has now shifted the narrative. The strong price performance has not only restored profits for short-term holders but also helped rebuild confidence across the broader investor base.
Short-Term Holders Emerge from Losses
Glassnode’s data highlights a notable decrease in unrealized losses among short-term BTC holders—those who entered the market during recent price dips. The turnaround signals relief for newer investors who had been underwater during the recent downturn.
While no single factor has been pinpointed as the catalyst for Bitcoin’s latest upward move, analysts point to a combination of macroeconomic trends, renewed institutional engagement, and improving retail sentiment as likely contributors.
Institutional Interest Resurges
The rally has also reinvigorated institutional interest, particularly in the U.S. spot Bitcoin ETF market, which has seen renewed inflows in line with Bitcoin’s price recovery. This institutional support has reinforced bullish momentum and strengthened market structure.
With Bitcoin now approaching the psychologically significant $100,000 threshold, market watchers are eyeing the level as the next major resistance. A successful push past this milestone could mark a new phase of price discovery, fueling further optimism among retail and institutional participants alike.
As momentum builds, Bitcoin’s return to profitability for millions of holders may signal the start of a new bullish phase—restoring faith in the asset’s long-term potential.
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