According to the realized price, Bitcoin buyers saw a 40% increase on average last year.

In 2024, the average realized price for Bitcoin purchases was $65,901.

Although Bitcoin’s price more than doubled last year, investors who bought in 2024 saw, on average, a far smaller return, based on a metric known as the realized price.

The realized price represents the average price at which Bitcoin last moved on-chain. While the overall realized price for Bitcoin since its inception in 2009 is around $41,000, for coins purchased last year, it stood at $65,901 by December 31. With Bitcoin’s market price closing at approximately $93,000, this means 2024 buyers, on average, are sitting on an unrealized profit of about 40%.

The realized price is a critical metric for understanding the profit and cost basis of individual investors. For buyers in 2024, Bitcoin would need to fall by roughly 31% for them to break even. The introduction of U.S. spot-listed exchange-traded funds (ETFs) on January 11 coincided closely with the start of the year, offering a useful reference point for the cost basis of these investors.

In addition, the realized price provides valuable insights into market trends. Historically, when Bitcoin’s market price drops below the realized price, it has often indicated a local price bottom. This occurred in January after the launch of the ETFs, and again several times during the middle of the year. Monitoring the realized price of 2024 buyers could have been a beneficial strategy for traders.

As 2025 begins, the average cost basis for Bitcoin investors has risen to approximately $95,500, putting them in a slightly profitable position as the year opens. Bitcoin is currently trading above $96,000.

Additionally, the realized price has proven to be a solid support level during market downturns and tends not to trade below it for extended periods.