The latest downturn in the Bitcoin ($BTC) market has led to significant losses. As per the data from Glassnode, the cumulative losses in the recent sell-off account for $2.16B, while the new market entrants are leaving. The blockchain analytics platform took to social media to offer insights into the impact of Bitcoin’s latest decline.
New Bitcoin Traders Exit Market, Resulting in $2.16B in Losses in Latest Sell-Off
Glassnode’s analytics highlight that a great number of new investors are leaving the Bitcoin market following its recent dip. Particularly, a cumulative $2.16B has left the Bitcoin ecosystem in terms of sell-offs ranging from the 25th to 27th of this month. Hence, the short-term $BTC holders are responsible for majority of the losses occurring during the latest sell-offs. In line with the data, investors who bought $BTC within the recent week are the prominent among those causing the losses.
Based on the market data, those who bought Bitcoin during the last week led to losses of nearly $927M. This amount reportedly accounts for 42.85% of the entirety of losses concerning the young cohorts. The rest of the short-term Bitcoin holders additionally went through massive losses. In this respect, the Bitcoin holder ranging between one week and one month accounted for $678M, denoting 31.3%. Additionally, the holders ranging from 1 month to 3 months saw $257M in losses, expressing 11.9%. Moreover, the 24-hour holders recorded $322M in losses, signifying 14.0%.
The above-mentioned analytics point out that the recent price correction of Bitcoin mostly impacted the new market entrants. On the other hand, the holders having held their $BTC for lengthy periods have remained calm. Hence, the losses from the holders who held $BTC for above 3 months were reportedly negligible.
Despite Panic Selling by Short-Term Holders, Long-Term Bitcoin Holders Remain Steady
Specifically, those having held Bitcoin for 3 to 6 months witnessed $6.5M in losses, expressed 0.3% of the total young cohort losses. Apart from that, those having held Bitcoin for 6 to 12 months incurred $3.2M in losses, nearly 0.15%. According to Glassnode, though short-term traders are rapidly exiting the market, long-term holders keep indicating steadfastness amid the downturn. Simultaneously, market onlookers are keenly watching whether the top crypto asset can reach a robust support level in the near term.
