Many Bitcoin holders are currently enjoying healthy profits since Bitcoin’s 150% rally since the crash in March.
Based on data found by the unspent transaction output (UTXO), it was found that 81% of Bitcoin holders are in profit. This is an indication of possibly bullish momentum on the horizon, as this suggests that most of the market is still waiting for higher prices before cashing out their BTC.
However, analysts also pointed out that higher prices could see a sell-off on the horizon as traders sell their holdings to take their profits.
This could be indicative of a wider sentiment that this halving is different to those that have come before it, as suggested by crypto valley experts who claim that miners do not have the power they once had in terms of being able to dump and pump Bitcoin’s price. Miner’s influence will diminish by another 50% in three days time when the halving takes place on the 11th May.
One of the experts, Arnaud Salomon, CEO of Mt Pelerin, claimed:
“The power has shifted away from miners. They’re not in the same position as they used to be ten years ago or even five years ago […]. The stock is already so big and because today there is a lot of Bitcoin in circulation people are willing to trade and exchange.”
In more bullish news, famed crypto whale, JOE007, has recently closed his much-reported short position he took at the $6,500 level — perhaps believing that the selloff seen in the aftermath of previous halvings would have proved his short correct.
Estimates put his loss at around $15 million, after which he has closed his Twitter account and made the following statement:
“So even though the journey was unexpectedly exciting, it has come to its end. From the very beginning, my [crypto Twitter] involvement was a time-limited experiment since my detractors got something right: I can’t really afford Twitter. There are many reasons why I can’t stay, unfortunately.”
Once the leader on the Bitfinex leaderboards, Joe has removed his trading logs from the site and will possibly now trade anonymously.
With the global economy on its heels, Bitcoin looks to be gearing up for a big move and sentiment is currently suggesting this will be to the upside, however, Bitcoin has been known to move in unexpected directions.