Bitcoin's Short-Term Whales Pay 185% More Than Long-Term Holders

New data reveals a significant disparity in the cost basis between short-term holder (STH) whales and long-term holder (LTH) whales in the Bitcoin market. The STH whales, who have entered the market within the past 155 days, have a cost basis of approximately $91,900. In contrast, LTH whales, who have held their Bitcoin for more than 155 days, have a cost basis of around $32,200. This results in an 185% higher cost basis for the STH whales compared to the LTH whales.

The Realized Price, an indicator that tracks the cost basis of the average investor, shows that the STH whales are currently in a profitable position due to Bitcoin's recent recovery rally. However, their situation is not as favorable as that of the LTH whales, who have a much lower cost basis. This gap indicates a growing confidence and fear of missing out (FOMO) among investors, driving them to buy at higher prices.

This trend is a stark contrast to the 2022 bear market, where the difference between the cost basis of the two groups fell to just 65%. The current situation suggests that demand from new whales may continue to be strong, potentially driving up the spread between the cohorts further. In the 2021 bull market, the gap between the cost basis of STH and LTH whales peaked at 437%.

The recent recovery rally has seen Bitcoin reclaim the $103,000 level, further highlighting the profitability of the LTH whales. The data suggests that the market is experiencing a surge in investor confidence, with new whales entering the market at higher prices. This trend could continue to drive up the price of Bitcoin, benefiting both STH and LTH whales.