There is an ingenious crypto market metric called realized capitalization which provides an estimate of how much money is invested in Bitcoin (BTC) at a given time. It is determined via calculating the value of each Bitcoin the last time it was moved on chain, and then adding this value up for all of the Bitcoins in existence. Essentially, the value of a Bitcoin the last time it is moved can be assumed to be the amount of money paid for it, and so if you add this value up for all Bitcoins then it gives an approximate amount of money paid for all of the Bitcoins that are being HODLED in the world.
Notably, Bitcoin’s realized capitalization is currently $115 billion, which is $43 billion more than during the 2017 all-time high. In other words, an extra $43 billion is invested into Bitcoin than when the 2017 all-time high happened. Therefore, Bitcoin buying and HODLING pressure is far stronger than ever before.
Further, the realized capitalization for Bitcoin has been rapidly increasing since March, which is a strong indicator that the market is bullish.
Likewise, Ethereum’s (ETH) realized capitalization has been rapidly increasing since March as well, and indeed Ethereum (ETH) recently had a major rally.
Thus, even though Bitcoin (BTC) is currently near $10,000, and far from the all-time high of $20,000, there is actually more money invested into Bitcoin than ever before, and perhaps this is a harbinger that Bitcoin will rise back to the all-time high in the coming year.