On-chain data shows Bitcoin inflows this cycle have totaled to $678 billion. Here’s how this figure compares with that of the previous cycles.
The last transaction of any token is likely to correspond to the last time at which it changed hands, so the price at its time could be considered as its current cost basis. As such, the Realized Cap is essentially the sum of the cost basis of the entire BTC circulating supply.
In the current cycle so far (starting in November 2022), the Realized Cap has jumped in three big waves, suggesting a large amount of capital has flowed into BTC through three phases. Following the latest inflows, the indicator has risen to a record $1.06 trillion, as the below chart shows.
But how much of the capital stored in Bitcoin came in during the latest cycle alone? Another chart shared by Glassnode in the report breaks it down for not just this cycle, but also all past ones.
In total, an unprecedented $678 billion in capital inflows have come into Bitcoin during the latest cycle. This is 1.8 times the $383 billion in Realized Cap growth that the 2018 to 2022 cycle witnessed. The last cycle saw a more exponential jump from the previous ones ($4.2 billion from 2011 to 2015, and $85 billion from 2015 to 2018), but the sheer scale of capital involved in the latest cycle is still quite impressive.
As is visible in the above chart, the Bitcoin Profit/Loss Ratio has seen three peaks with extreme values in this cycle, which is unlike the single prolonged waves from the previous cycles. “Having just stepped away from the third such extreme, probabilities favour a cooling phase ahead,” explains the analytics firm.
Bitcoin has seen its drawdown deepen over the past day as its price has dropped to the $109,300 level.
