Bitcoin performed very well in 2024 and was a game-changer for many investors. The price of Bitcoin moves upward so strongly, and most investors enjoyed a 40% unrealised gain. A good starting point when thinking about profits is realized price, which indicates the average price at which bitcoin was bought.
What is the Realized Price and Why It’s Essential for Bitcoin Investors.
The realized price refers to the average price at which Bitcoin (or any cryptocurrency) was last bought or moved on the blockchain. It is different from the current market price. It shows the price at which each Bitcoin was last acquired or transferred between wallets.
The realized price of Bitcoin as of the end of 2024 was approximately $65,901. This will be the average price at which buyers purchased Bitcoins in 2024. It is important because the realized price shows the actual amount of profit or loss for the investors.
What about unrealized profits.
In 2024, Bitcoin's price increased to approximately $93,000, so those at the realized price of about $65,901 see an unrealized profit of about 40%. As we move into 2025, Bitcoin buyers have an average cost of around $95,500 while the market price moves slightly above $96,000, so recent buyers will have very small losses.
This is a major support level during periods of market decline because the price of Bitcoin rarely stays below it for long. As such, it is an important tool in determining the trend of the market and the way the price of Bitcoin might trend going forward.
Conclusion
The realized price is a very important support level, particularly in bear markets, because Bitcoin's price rarely stays below it for long. It is therefore a useful tool in evaluating the health of your Bitcoin investment and making informed predictions about future price movements.
This makes the realized price helpful for beginners in judging profitability and better investment decisions. After all, with a 40% gain for buyers in 2024 and a strong foundation that will drive further growth, it is still an attractive asset.
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