Even though the Bitcoin price momentum seems rather problematic, the world’s leading cryptocurrency stays the course. With two new all-time highs in the books, the ecosystem isn’t slowing down whatsoever. Both the realized cap and realized price have hit new highs, which is rather promising. 

Bitcoin’s Realized Cap Rises Strongly

It may seem strange to think of Bitcoin – in its current volatile state – as a currency capable of hitting all-time highs. In most cases, such developments could imply a change in mining power or mining difficulty. This particular metric, however, has nothing to do with either of these aspects. Instead, the realized cap of the world’s leading cryptocurrency is hitting a new record.

Based on the statistics by Glassnode, this all-time high realized cap is crucial. It depicts the value of every UTXO since it last moved on the network. The longer people keep funds in their wallets as an unspent output, the higher the network’s average realized cap will go. For the layman, it is crucial to HODL as long as possible, as that will often yield the best returns on investment. 

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BlocDesk Bitcoin Realized Cap ATH
Source: Glassnode

Considering how the Bitcoin network is over 12 years old, a fair few coins have lost value compared to their last “spending period”. That is only to be expected, as Bitcoin’s price is notoriously volatile. Following the recent 24% price drop, one could think this affects the realized cap negatively. However, nothing is further from the truth as the value of the realized cap is now at an all-time high.

As things stand, Bitcoin’s realized cap sits at $277,162,610,702.83. Some may see the gap between this number and the current market capitalization of Bitcoin. It is pertinent to understand that market capitalization is a misleading statistic, yet it can indicate the total “value” on the network. As such, there is tremendous bullish growth in realized cap terms, which may translate into further price appreciation per BTC.

All-time High Realized Price

The second fresh all-time high for Bitcoin pertains to the realized price. This metric results from dividing the realized cap – with its new all-time high – by the current supply of BTC on the network. If the realized cap remains flat, and the number of BTC in circulation increases, there will be a lower realized price. In this case, the opposite has come true.

Blocdesk Bitcoin Realized Price
Source: Glassnode

Thanks to the rising value in realized cap and the Bitcoin supply, there is still enough growth for a new all-time high. Glassnode’s algorithm puts the realized price per BTC at $14.868.48. Considering this figure was well below $7,000 until late 2020, it is safe to say that Bitcoin is still performing well.

Thanks to these two new all-time highs, it will be interesting to see what March brings for Bitcoin enthusiasts. A new month of trading and futures speculation will open up, creating new expectations and market momentum. The bull run’s continuation remains highly likely, especially with the pullback driving prices lower by over 20%.