BTC is currently attempting to break out of this bear market, and several technical and on-chain levels are converging around the importance of the $80 000 level.

Other indicators, such as the realized price, have ultimately become less relevant than they were in the past due to the amount of illiquid supply, while BTC’s market capitalization continues to increase.

At the cycle’s peak, BTC’s market cap reached $1.75 trillion.

To adjust this realized price, it is therefore important to change the approach by weighting it according to the capital invested.

In other words, BTC bought more than 10 years ago and now considered illiquid represents a much smaller share of the capitalization than BTC bought today.

When we weight the realized price by this capital factor, we get a cost basis of ~$79 600.

This is the barrier Bitcoin is currently struggling with, and it better defines the zone where the average invested capital reaches neutrality.

This is one of the main reason why the $80 000 level is so important to watch.

A daily close above it, followed by a weekly close above it, would be a very strong signal and would bring a large portion of the capital back into profit.

Written by Darkfost