The below is an excerpt from a recent edition of Bitcoin Magazine Pro, Bitcoin Magazine’s premium markets newsletter.
With bitcoin, and the introduction of a completely transparent set of property rights, you can calculate the realized market capitalization, which values each unit of supply at the price it was last moved across the network.
The realized market capitalization of bitcoin is one of the best ways to quantify the monetization process of the asset, as the infamous volatility of the asset is seemingly only occurring to the upside.
The fluctuations in the exchange rate are not nearly as volatile as the gradual-then-sudden appreciation of the realized market value of the asset.
Currently the realized cap of bitcoin is $467 billion, a mere 0.20% off of its all-time high.
Although long-term holder supply is fairly neutral since the start of the year, up 0.6% as accumulation and coins aging into this group continues, the data shows that there’s been plenty of selling too.