Initially viewed as a risky investment, Bitcoin has matured into a resilient asset class, drawing interest from both institutional and retail investors.
Bitcoin's Long-Term Returns
At the 2022 cycle low, one Bitcoin traded at around $17,000. Now, that same Bitcoin is valued at $105,000, representing over a 517% increase in just over two years. Although returns are strong, the capital required to participate has also risen significantly.
Retail Investor Behavior
Despite growing institutional interest, on-chain data shows a 33% increase in addresses holding more than 0.01 BTC over the past two years. Additionally, the number of addresses holding more than 1 BTC recently surpassed the 1 million mark, indicating active accumulation and conviction among retail investors.
Resilience and Bitcoin's Future
Data from Glassnode reveals that since the 2022 cycle low, Bitcoin has generated a 656% return. This indicates that long-term holding continues to yield significant returns, reinforcing confidence in Bitcoin's stability despite higher entry barriers.
Bitcoin has demonstrated its ability to remain a reliable asset, attracting both institutional and retail investors despite rising investment barriers. The resilience of its returns supports continued interest and further accumulation.
