According to on-chain analytics firm Santiment, Bitcoin, Ethereum, and XRP are currently displaying a noteworthy profitability trend. In a recent tweet, Santiment pointed out that these major cryptocurrencies have over 80% of their existing supplies in profit, a trend last observed in March 2022. Presently, Bitcoin, Ethereum, and XRP are marking 83%, 84%, and 81% of their supplies in profit, respectively.

The “Total Supply in Profit” metric is a useful way to gauge how much of the total supply on a network is in profit or loss at any given time. It provides a simple way to assess whether a coin is worth more or less than its initial value when it was minted, mined, or entered circulation.

The percentage of the total supply in profit analyzes whether the percentage of supply available at any specific time, rather than the total number of coins on a network, is in profit or loss. This offers a binary perspective on the ratio of the total supply being in profit, even if it’s a minimal profit.

However, Santiment notes that Bitcoin, XRP, and Ethereum currently have their supplies at historically high levels of profit compared to their averages, which have ranged from 55% to 75% since 2018. The percentage of the total supply in profit provides a shorter-term perspective on how the network is gaining or losing value on its investments over time.

This metric is crucial in the crypto space, which operates as a zero-sum game. When networks are heavily in profit, it becomes crucial to monitor potential developments. While this doesn’t rule out further upside moves for Bitcoin and other cryptocurrencies due to increased exposure from ETFs and positive news, Santiment suggests keeping an eye on potential indicators. According to Santiment, a signal indicating continued long-term growth would be a drop below 75% of the supplies in profit once again.