U.S. investment bank Morgan Stanley (MS) says that a record 78% of Bitcoin (BTC) has not been used in transactions over the past six months as the price of the world’s largest cryptocurrency continues to slump.
In a new report, Morgan Stanley says that most investors who bought Bitcoin in 2021 are facing steep losses and waiting for rallies to close out their positions.
Consequently, a record amount of Bitcoin has sat idle over the past six months and that level is growing, according to Morgan Stanley.
The bank’s estimates suggest that the remaining 22% of Bitcoin is being held by shorter-term investors and traders, with the average breakeven price slightly higher than $22,300 U.S.
Morgan Stanley’s report adds that trading volumes in Bitcoin have been falling on most exchanges since the cryptocurrency’s price peaked at $68,000 U.S. nearly a year ago.
Bitcoin is currently trading at just over $20,000 U.S.
