CryptoQuant founder and CEO Ki Young Ju reported that Bitcoin traders on exchanges are sitting on their largest unrealized gains of the current market cycle. In a post on X, Ju said the scale of those paper profits is roughly three times the peak seen in 2021, marking a notable shift in market structure.
According to Ju, the key difference this cycle is that spot Bitcoin exchange-traded funds and publicly traded companies accumulating Bitcoin have functioned as exit liquidity for exchange traders. Since spot ETFs were approved in early 2024, they have purchased actual Bitcoin rather than derivatives, while firms such as MicroStrategy have added large amounts of BTC to corporate treasuries. Ju described this group of digital asset treasury companies as “DAT” buyers.
The observation suggests that although exchange traders hold substantial unrealized profits, any future profit-taking could be absorbed by steady demand from ETFs and corporate buyers. Ju noted that unrealized gains do not guarantee immediate selling, and actual behavior will depend on market conditions and price levels. The growing role of long-term holders and institutional buyers may reduce volatility compared with previous cycles.
