Summary:
Average realized price for 2024 Bitcoin buyers was $65,901.
Investors saw an unrealized profit of about 40% with Bitcoin closing around $93,000.
A 31% drop in Bitcoin price would lead to break-even for last year's investors.
Historically, the realized price acts as a strong support level in bear markets.
As of 2025, the average cost basis is around $95,500, indicating slight profits.
Understanding the Realized Price of Bitcoin
The average realized price for Bitcoin (BTC) buyers in 2024 reached $65,901. While the price of Bitcoin more than doubled in 2024, the realized price gives a different picture of investor gains.
The realized price is calculated based on the last on-chain movement of Bitcoin, which has historically averaged around $41,000 since 2009. For those purchasing Bitcoin last year, the realized price stood at $65,901 by the end of December. With the market closing around $93,000, this means 2024 buyers were sitting on an unrealized profit of approximately 40%.
Importance of Monitoring the Realized Price
Monitoring the realized price is crucial for assessing overall profit or loss among individual investors. For 2024's investors to break even, Bitcoin's price would need to drop about 31%. Furthermore, when Bitcoin's price fell below the realized price, it often indicated a local bottom, providing a potential trading strategy.
As we enter 2025, the average cost basis for Bitcoin is around $95,500, suggesting that buyers are starting the year with a slight profit as Bitcoin trades over $96,000.
Historically, the realized price also serves as a strong support level during bear markets, rarely trading below this metric.
/cdn.vox-cdn.com/uploads/chorus_asset/file/25806149/govee_pixel_light.jpeg){kind=tracking}
Comments