As bitcoin fell below $59,100 on Wednesday, the number held at a loss rose to a record 10.83 million BTC, data from Glassnode shows.
The largest cryptocurrency has tested the $60,000 level repeatedly since February, briefly falling below it several times. Four months ago, the supply in loss peaked at 9.8 million BTC. It climbed to 10.78 million in early June.
Looking at previous bear market bottoms, around 10.5 million BTC in loss is broadly consistent with the levels seen near cycle lows in 2019, 2020 and 2022.
Breaking this down further, 5.58 million BTC are held at a loss by long-term holders (LTHs), defined by Glassnode as investors who have held their coins for at least 155 days. This is the second-highest level on record, behind only March 2020, when more than 5.6 million of the cohort’s bitcoin were held at a loss.
Even so, long-term holders now control approximately 14.8 million BTC, another all-time high. With roughly 20 million BTC in circulation, these investors hold close to 75% of the circulating supply, 37% of which are in the red,
Historically, long-term holders tend to accumulate and continue holding throughout bear markets, increasing their share of the supply. During periods of peak bull-market euphoria, they typically begin selling into market strength.