Bitcoin Price Drop Leads to $2.16 Billion in Realized Losses

A recent analysis by Glassnode has found that the Bitcoin price drop resulted in over $2.16 billion in realized losses for traders between February 25 and 27. The majority of these losses came from traders who had purchased Bitcoin within a week before the price crash.

Breakdown of Losses

According to Glassnode, traders who bought Bitcoin within the past week suffered the most significant losses, with $927 million in realized losses, accounting for approximately 42.5% of the total. The second-largest loss came from traders who purchased Bitcoin within a month before the price drop, with $678 million in losses, representing 31.3% of the total.

The breakdown of losses by time frame is as follows:

  • Traders who bought Bitcoin within the past week: $927 million (42.5% of total losses)
  • Traders who bought Bitcoin within a month: $678 million (31.3% of total losses)
  • Traders who bought Bitcoin within 24 hours: $322 million (14% of total losses)
  • Traders who bought Bitcoin up to three months ago: $257 million (11.9% of total losses)
  • Traders who bought Bitcoin within six months: $6.5 million (0.3% of total losses)
  • Traders who bought Bitcoin within a year: $3.2 million (0.15% of total losses)

These findings suggest that traders who have held onto their Bitcoin for longer periods are more likely to be holding, while more recent buyers are exiting under pressure.

“This suggests that those who entered in H2 2024 or earlier are largely holding, while more recent buyers are exiting under pressure.”

Largest Single-Day Crypto Crash

Additionally, Glassnode’s research found that February 26 was the largest single-day crypto crash this year, with an aggregated realized loss of $1.13 billion. This number is 25% larger than the previous single-day market drop on February 3, which resulted in $848 million in losses.

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