The Week On-chain Video Report #36 is live!

We analyse topics including:
- Miner revenue and spending behaviour
- Growth of institutional size #Bitcoin transactions
- Market sentiment via spending analysis
- ATH in $BTC and $ETH futures open interest

Be sure to check our Video Portal on Glassnode Studio for more analysis and metric tutorials.

Over $4B in #Bitcoin open interest has been cleared during this sell-off.

This is the most significant leverage flush out since the sell-off in mid-May.

Read and watch our analysis leading up this event in our Newsletter and Video Analysis.

During yesterday's sell-off, over 10.3% of the #Bitcoin supply transitioned from holding an unrealised profit, to now holding an unrealised loss.

This indicates that around 1.94M $BTC have an on-chain cost basis between $45.8k and $52.6k.

Live Chart

We are pleased to release a Video Tutorial for using Workbench, to compare, and construct bespoke metrics and insights.

We show you how to use formulas to construct a simple pricing and hash-rate model.

Access Workbench Tool.

As derivatives led the sell-off this week, the value locked in #DeFi protocols has held up remarkably well.

Interestingly, the valuations of #DeFi tokens appears to have dislocated from this uptick in protocol usage and TVL.

Read more in DeFi Uncovered and subscribe for more DeFi insights.

The relative supply held by LTH and STH tells us an interesting story about #Bitcoin:

1. Over 16.8% of the $BTC supply was spent in the last 5mths and returned to profit at the recent $52.8k high.

2. Long-term holders now own 79.5% of the $BTC supply, equivalent to Oct 2020.

This suggests that many coins changed hands during the recent consolidation in $29k to $40k range. It also indicates $BTC purchased in Q1 to Q2 2021 remain tightly held, with investors unshaken by a 50%+ drawdown. Note, some of these coins are likely held by GBTC and custodians

Last week opened to a market wide deleveraging, as #Bitcoin sold off by $10k in 1hr.

Despite downside volatility, long-term holders remain unshaken, with almost 17% of supply bought and held through significant corrections.

Read more in The Week Onchain

The amount of Liquid #Bitcoin on-chain has been in structural decline since the March 2020 market crash.

This underlines a phase shift in investor appreciation of #Bitcoin as a macro asset, with a long time horizon

Read our analysis on HODLer behaviour in The Week Onchain Newsletter

The Week Onchain Video Report #37 is live!

We analyse the volatility, and derivative liquidations behind the #Bitcoin sell-off that opened the week.

Then we shift to analyse #Bitcoin HODLers, accumulation, and conviction of these buyers of last resort.

aSOPR presents the relative profit, or loss realised by $BTC spent onchain.

The bearish trend in May-July saw a sustained period of aSOPR < 1 as investors capitulated losses.

In bullish trends, aSOPR = 1.0 tends to act as support as conviction to HODL profitable coins remains.

#Bitcoin mining hash-rate has now recovered by 54% from the 2021 lows.

Approximately half of the mining network went offline in May, as the full impact of the Great Mining Migration was felt.

This recovery suggests that around a quarter of the peak hash-rate remains offline.

#Bitcoin miners have been in accumulation mode over the last 6 months, with the unspent supply climbing by 13,000 $BTC since January.

After a small spend of ~1,360 $BTC in late August, it appears miner balances are increasing once again.

Live Chart

#Bitcoin Thermocap is calculated as the cumulative sum of USD block rewards paid to miners

It reflects the aggregate 'cost of production' for all circulating $BTC.

The Thermocap just passed $30.3B.

At a market cap of $900B, #Bitcoin is worth 29.7x more that its total input cost.

As #Bitcoin markets experiences further downside volatility, Long-term Holders are strategically spending coins.

$BTC exchange balances continue to see strong outflows, and the #Bitcoin Thermocap surpasses a $30B valuation.

Read more in The Week On-chain

When the #Bitcoin market experiences significant price moves, we can assess the change in profitable on-chain entities to gauge zones of cost basis concentration.

Approximately 8.6% of on-chain entities (wallets with the same owner) have a cost basis between $43k and $48k.

#Bitcoin has experienced a strong correction this week, with prices trading down to $40k.

In the Week 38 Video Report, we:
- assess the derivatives and market response
- analyse on-chain spending behaviour
- explore the Thermocap valuation model

#Bitcoin Lightning Network now at an all-time-high of over 72,380 open payment channels.

This is up 226% from the stable baseline of ~32k channels established throughout 2019-20.

Live Chart

The total volume of #Bitcoin held by Long-Term Holders has reached a new all-time-high of 80.5% of circulating $BTC.

The breakdown of circulating supply is:
- LTH supply profit = 71.1%
- LTH supply in loss = 9.4%
- STH supply = 19.5%

Live chart

During a volatile week, #Bitcoin investors have had their conviction tested.

This week, we assess both bullish and bearish indicators for the current market structure, and deep dive into our new Lightning Network metrics⚡️

Read more in The Week Onchain

The Week Onchain #39 Video Analysis is live.

We analyse the current bearish #Bitcoin market structure, as well as the bullish supply dynamic undertones.

We also cover our new suite of Lightning Network metrics which are all breaking all-time-highs⚡️

Be sure to check our Video Portal on Glassnode Studio for more analysis and metric tutorials.

#Bitcoin Short-term Holders are currently seeing their conviction tested.

The STH-SOPR metric trades at or below 1.0 in:
- Bullish shake-outs
- Bear markets
- Capitulation events

STHs are currently realising minor losses on-chain, spending coins that last moved at higher prices