In 2024, the average realized price for Bitcoin buyers was $65,901.
While Bitcoin’s price more than doubled over the past year, investors who purchased the cryptocurrency during 2024 saw, on average, only a fraction of that price increase, according to a metric called the realized price.
The realized price represents the average value of Bitcoin based on the price at which the tokens last moved on-chain. While the realized price for all Bitcoin since its inception in 2009 is approximately $41,000, for coins bought in 2024, it stood at $65,901 by December 31. With the market price closing around $93,000 at year-end, this means 2024 buyers, on average, were sitting on an unrealized profit of about 40%.
Tracking the realized price is crucial for assessing the overall profit or loss and the cost basis of individual investors. For last year’s buyers to break even, Bitcoin would need to drop by roughly 31%. The introduction of U.S. spot-listed exchange-traded funds (ETFs) on January 11, close to the start of the year, aligns closely with this cost basis for many of these investors.
The realized price is also important for identifying market trends. Historically, when the Bitcoin price dips below the 2024 realized price, it has often signaled a local price bottom. This occurred in January, following the launch of the ETFs, and several times in the middle of the year. Monitoring the cost basis of 2024 buyers would have been a profitable strategy for traders.
As we move into 2025, the average cost basis for Bitcoin buyers is now around $95,500, meaning they are seeing a slight profit as the new year begins. At the time of writing, Bitcoin is trading just above $96,000.
Additionally, the realized price has historically served as a solid support level for Bitcoin during bear markets and is rarely seen trading below it.
