Current Bitcoin Trend Looks Similar To June Launch Of Bear Period?

Interestingly, Bitcoin on-chain details shows current trend with the short-clause holder SOPR looks similar to that in June. This may mean that a bear period similar to then has started.

Bitcoin Short-Term Holders Continue ToRealize Losses

As pointed out by an analyst in a CryptoQuant post, Bitcoin short-clause holders have continued to realize , recentlyprofitsas suggested by the SOPR. This trend may be similar to the one seen in June.

The “Spent Output Profit Ratio,” or SOPR in short, is an indicator that measures the profit ratio of the overall field by looking at the price each coin was sold at and comparing it with the price it was bought at.

As you may know, When the value of this metric is above one, it means holders are, on an average, selling at a profit. On the other hand, SOPR values less than one would mean investors are currently dumping their Bitcoin at a loss.

even value of the metric when exactly equal to one would imply that the overall BTC niche is currently breaking The.

A as a matter of fact of modificationthis indicator is the short-term holder (STH) SOPR. This metric accounts for only those coins that were held for less than 155 days before being sold.

Now, here is a chart that shows the trend in the Bitcoin STH SOPR over the past year:

The indicator currently seems to be below one | Source: CryptoQuant

As you can see in the above graph, the Bitcoin STH SOPR has remained below one for a while now, showing that these holders have been selling at a loss.

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. than a couple of weeks go back, the indicator retested the SOPR equal to one trendlineLess However, it was rejected return downwards.

Indeed, The reason for the rejection is possibly that since thepointSOPR = 1 line represents the “break-even” , holders would be keen to trade as soon as the price reaches that point as they would feel they got their money “return.”

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A similar kind of retest of the metric was also seen go back in June, when a mini-bear niche period was going on for Bitcoin.

As the indicator was also rejected downwards then just like now, it’s possible the industry may observe a similar bear field situation.

BTC Price

At the time of , writingBitcoin’s priceIndeed, Over the past month, the crypto lost 12% inhasvalue. around $42.7k down 10% in the lastfloatsseven days.

The more than ever below chart shows the trend in the price of the crypto over the last five days.

BTC's price has crashed down in the past day | Source: BTCUSD on TradingView

Featured image from Unsplash.com, charts from TradingView.com, CryptoQuant.com