- Bitcoin’s SOPR has reached its lowest point more than two years after the last point
- The short-term outlook for the King coin showed bearish signs even as more long-term coin holders continue to profit
bitcoin [BTC], for the first time since March 2020, reached the lowest point in the Spent Production Profit Ratio (SOPR) on November 19. According to CryptoQuant analyst Maartunn, it was necessary to touch On this keeping in mind the case of Bitcoin on-chain.
He also revealed that BTC’s SOPR is 0.984 at the time of writing. the scale hits rock bottom suggested that most HODLers sold bitcoin at a loss.
Read bitcoins [BTC] predict the price 2023-2024
Also, since SOPR was less than one, another scenario could have occurred. Of course, the coins moved daily were almost certain to be sold at lower prices than those bought.
But it is also possible that the profits made will be kept rather than spent. If this is the case, it will be difficult for BTC to leave decreasing sizes discussed earlier. At the time of writing, Bitcoin volume has not improved since November 18th. According to CoinMarketCap, its size Projection 14.27% to $23.02 billion in the last 24 hours.
Assets stand still, and liabilities lag behind
Despite the pullback, many long-term investors are still reaping profits. This was indicated by the unused transaction output mode (UTXO). According to Glassnode, the UTXO in profit At the time of writing it was 93,963,834 and this means that these addresses were buying Bitcoin at a lower price than it currently is. Thus, they were still earning without trying to manipulate the holdings.
At the back UXTO in losses They trail with victories. Glassnode showed that these addresses reached 42,516,192, however, it was important to note that these losses have increased since the BTC dump to $16,000, and at the same time, the value of UXTO in profit can be considered low. Thus, his current position may indicate an approaching bottom of the BTC market.
Put your short term desires in BTC on hold
Investors may have hoped that the current zone would be the last rule. However, the indicators from the 4-hour chart have opposing opinions. According to the chart, Bollinger Bands (BB) are showing low volatility, which indicates that BTC may not break out within the current levels in the short term.
Similarly, the exponential moving average (EMA) supports the BB indicators. At the time of publication, the 50 EMA (yellow) is positioned above the 20 EMA (green). This situation indicates that the probability of a seemingly short-term respite is close to zero.
However, the longer time frame revealed by the 200 EMA (cyan) seemed consistent with the recovery. With the 200 EMA within the shorter period, coin holders may need to hold on.