99.4% of Bitcoin Supply Now in Profit as Market Sentiment Turns Highly Bullish

Key Takeaways:99.4% of Bitcoin’s circulating supply is currently in profit, according to CryptoQuant.Analyst Axel notes that nearly all Bitcoin holders are sitting on paper gains, signaling strong bullish sentiment.The realized price for short-term holders is now $133,000, suggesting potential room for continued upside.Nearly the entire Bitcoin (BTC) supply is now in profit, reflecting one of the most optimistic on-chain sentiment phases in recent history, according to CryptoQuant analyst Axel.As of October 7, 99.4% of all Bitcoin addresses are holding BTC at prices above their acquisition cost, meaning almost every holder is in profit. This trend historically aligns with periods of strong investor confidence and sustained price rallies.“The market remains highly optimistic,” Axel wrote, adding that Bitcoin’s short-term holders’ realized price — a key metric representing the average acquisition cost of recently active investors — has now risen to $133,000.On-Chain Data Suggests Bullish ContinuationAnalysts note that when such a high percentage of the Bitcoin supply is profitable, it often coincides with late-stage bull runs or momentum-driven expansions in price cycles. However, sustained optimism can also precede short-term corrections if profit-taking accelerates.Bitcoin is currently trading near $124,000, maintaining its position just below a fresh all-time high, as investors anticipate further institutional inflows through U.S. spot ETFs and potential Federal Reserve rate cuts later this year.