After experiencing a prolonged bear market in 2018 and 2019, bitcoin made a significant comeback in late 2020 through early 2021. During this time, the price surged from around $10,000 to $60,000. Despite this impressive price increase, data shows that a specific group of investors was actually selling their bitcoin throughout this period.
Interestingly, this particular cohort had been buyers during the previous bear market. Instead of holding onto their bitcoin and potentially missing out on gains, they decided to sell during the latest rally to lock in profits. This strategic move allowed them to capitalize on the price surge and avoid buying at the market top.
It’s important to note that market trends and investor behavior can vary greatly, making it crucial for individuals to stay informed and make educated decisions when it comes to buying or selling bitcoin.
