If You’ve Lost Money Investing on Bitcoin or Ethereum, You May Be a Bad Investor
On-chain data collected from glassnode shows that 70% of Bitcoin’s supply is held in profit, despite the sharp downturn in the cryptocurrency markets. What’s more, about 80% of Ethereum’s supply is held in profit. If you’ve lost money investing in cryptocurrency, you may be in the minority of investors.
Benzinga, a fintech media company providing news and data to retail investors and cryptocurrency traders, publishes its latest data study: If You’ve Lost Money Investing in Crypto, You May Be a Bad Investor.
Despite Bitcoin plummeting 50% in value, about 70% of Bitcoin in existence are held in profit. Not only this, but on-chain data suggests that those who have sold their Bitcoin in the recent months were short-term holders selling at a loss.
Ethereum has shown a similar trend, with about 80% of the token’s supply held at a profit. Many cryptocurrency investors are expecting their investments to appreciate after the upgrade to Ethereum’s network slated to launch on August 4th, 2021.
This upgrade, dubbed EIP-1559, will change the framework for transactions on Ethereum. Rather than bidding for network space to process transactions on Ethereum, users will pay a base fee plus a tip to Ethereum miners. This base fee is burned, reducing the supply of Ether in existence. As more users interact with the Ethereum blockchain, more Ether will be burnt, causing Ethereum’s supply to become deflationary.
Read If You’ve Lost Money Investing in Crypto, You May Be a Bad Investorin its entirety for the full report and analysis.
Benzinga regularly conducts data studies and publishes its findings. Read Benzinga Reports: Bitcoin Predicted to Crush Bitcoin’s ROI in 2021 for more data like this.
Sign up to receive the latest Benzinga news and offerings here and follow Benzinga on Instagram, Facebook, Twitter and subscribe to the BenzingaTV YouTube channel to stay in the loop.
For further information, please contact Ryan McNamara at ryanmcnamara@benzinga.com or reach out via Twitter @Ryan15McNamara
For more such Updates Log on to https://fintecbuzz.com/ Follow us on Google News Fintech News
