Bitcoin Realized Cap Hits ATH of $832B Despite Slower Capital Inflows

The Bitcoin Realized Cap has claimed a new all-time high despite the market witnessing slower capital inflows in recent times.  Bitcoin's Realized Cap has reached a record $832 billion, according to market insights from Glassnode. This growth continues at an impressive rate of $38.6 billion monthly, even as the asset experiences slower capital inflows since surpassing $100,000.  These slower capital inflows persist despite the remarkable performance from the ETF market in recent times. Between Jan. 8 and 14, Bitcoin Exchange-Traded Funds (ETFs) recorded outflows of $1.21 billion over four consecutive days.  However, this trend reversed on Jan. 15, with the Bitcoin ETF market witnessing inflows totaling $3.26 billion. Particularly, Jan. 17 alone saw daily inflows exceeding $1 billion, marking the largest single-day inflow for the year so far.  Notably, CryptoQuant Fund Premium reflects this bullish trend. The metric, which tracks demand for investment products like funds and trusts, has increased to 0.1026. 

Decline in Bitcoin Profit-Taking and Sell-Side Pressure   Meanwhile, Glassnode also confirmed that the market's sell-side pressure has significantly decreased. Particularly, net realized profit-taking dropped from $4.5 billion in December 2024 to $316.7 million—a 93% reduction, showing that the market is moving toward a healthier supply-demand balance.  https://twitter.com/glassnode/status/1882005901915381973 However, according to Glassnode, despite a combined 65% crash in realized profit and loss from $4 billion to $1.4 billion, the metric remains elevated historically. This suggests consistent day-to-day demand for Bitcoin is absorbing the ongoing capital flows.  To further confirm this trend, the CryptoQuant Net Unrealized Profit and Loss (NUPL) indicator stands at 0.6, indicating that many investors hold substantial unrealized profits. For context, this aligns with the "Belief" phase in market cycles.

Analysts Remain Bullish   Amid these conditions, market watchers remain bullish on Bitcoin. Analyst Darkfost recently reported a massive shift in investor sentiment on Binance.  After a brief period of sell-offs linked to a lack of crypto mentions during Donald Trump's inauguration, net taker volume on Binance turned negative, reflecting pessimism. However, just before the U.S. markets opened, net taker volume flipped back to positive. Darkfost believes that if this trend continues, Bitcoin could soon surpass its all-time high.

Further, CryptoBatman noted that Bitcoin's current position on the Days-to-Halving Heatmap suggests the market is far from a cycle top. Typically, Bitcoin's largest price rallies occur when it is furthest from the next halving, a pattern shown in red and orange zones on the heatmap.  https://twitter.com/CryptosBatman/status/1882066349892993215 With plenty of upside potential remaining, CryptoBatman believes Bitcoin will likely record massive gains in the coming months.   Meanwhile, Michaël van de Poppe predicts a market cycle reminiscent of 2017. He anticipates the market to achieve valuations comparable to the Dot-com bubble, estimating a total market cap of $15 to $25 trillion. For Bitcoin specifically, he forecasts a price exceeding $300,000. Currently, Bitcoin trades for $104,304, up 0.62% in the last 24 hours.