Understanding Bitcoin's Profitability Landscape
Recent research from CryptoQuant reveals that Bitcoin's long-term holders (LTHs) are currently experiencing relatively lower profits compared to previous bull cycles. For investors to achieve profit levels similar to early bull markets, Bitcoin would need to reach $140,000—a critical psychological and technical threshold.
The Current Profit Scenario
- Realized Profit: Approximately 220% based on Market Value to Realized Value (MVRV) ratio
- Long-Term Holder Cost Basis: $33,800 (average purchase price)
- Unrealized Profits: $2.5 trillion across the Bitcoin market
"To restore previous profit levels, BTC needs to reach $140,000—a price point many analysts are watching closely." - CryptoQuant Researcher
Why $140,000 Matters
The $140,000 target represents more than just a round number. This price point would:
- Match LTH profit levels seen in March 2024 (300%) and December 2024 (350%)
- Absorb current selling pressure from long-term holders
- Potentially trigger the next major price acceleration phase
👉 Discover how Bitcoin's price movements create trading opportunities
Market Recovery Signals
Despite recent consolidation, several indicators suggest Bitcoin is preparing for its next major move:
- Technical Analysis: Breaking free from multi-week downtrend since May
- On-Chain Data: Strong holder behavior despite price volatility
- Sentiment: Majority of investors holding through consolidation
The Road Ahead: What Analysts Predict
Industry experts anticipate significant developments in the coming months:
- Timeframe: Major trend change expected within 2-3 months
- Price Action: Potential retest of key levels before continuation
- Market Psychology: $140,000 serving as both target and resistance
Key Takeaways for Investors
- Current profits remain below historic bull market peaks
- $140K represents a crucial psychological and profit-taking level
- Market structure suggests accumulation continues despite volatility
Frequently Asked Questions
Q: Why is $140,000 significant for Bitcoin?
A: This price level would restore long-term holder profits to levels seen in previous bull market peaks (300-350%), creating strong technical and psychological significance.
Q: How does current profitability compare to 2024?
A: Current realized profits (220%) remain below March 2024 (300%) and December 2024 (350%) levels, suggesting room for growth.
Q: What's the average cost basis for long-term holders?
A: Approximately $33,800, meaning most long-term investors remain significantly profitable even at current prices.
Q: When might we see the next major trend change?
A: Analysts predict potential trend acceleration within 2-3 months as Bitcoin works through current consolidation.
👉 Learn more about Bitcoin market cycles and trading strategies
Note: All data current as of July 2025. Market conditions may change rapidly.