Bitcoin [BTC] has reversed all the bearish cues and is currently flirting with $45k. While it is yet to register an all-time high in terms of its price action, the world’s largest crypto-assets realized market cap just broke all the previous records to hit a new peak of over $378.7 billion.
With this, the total realized market cap blasted past the figures recorded back in April 2021 when Bitcoin had topped out above $60k. This was revealed by the blockchain intelligence firm Glassnode. This metric essentially helps in assessing Bitcoin’s market cap on the basis of the price at which each coin last moved.
More money in Bitcoin market today at $46k than its ATH?
Prominent statistician Willy Woo explained,
“The capital stored in the #Bitcoin network just broke an all-time highs. The network has more money in it today at $47k than it did at $64k in April. Realised Cap estimates this by summing the price paid for every coin in BTC’s circulating supply.”
Bitcoin’s current realized capitalization higher than registered during this year’s peak in April signaled a bullish outlook demonstrating an increase in the network activity, and also indicating a greater adoption or rising optimism and confidence in the cryptocurrency market which was hovering close to $2 trillion valuations.
The Great Miner Exit and Price Dump
The great BTC miner exit in the month of May this year and the subsequent rout that originated China left many in the community panicking as metrics dropped abrupt multi-week lows. Shortly thereafter, the accompanying BTC price crashed. Then, the collective market saw major retests in the coming weeks followed by a period of incessant sideways price movement. Not many altcoins managed to decouple from BTC and continued to consolidate within stiff ranges.
However, the trend has flipped bullish. A major indicator that confirms this is the surge of the latest mining difficulty adjustment. Following the mid-July dip, the mining difficulty saw a 13.7% increase in two consecutive jumps, this evidenced greater security on the network as the negative effects of the Chinese crackdown appeared to be fading as miners from the region slowly settle down in crypto-friendly countries.