According to a report by CoinDesk, blockchain data analysis company CryptoQuant believes that there is still a further downside risk for Bitcoin. In a report shared with CoinDesk on Thursday the 18th, analysts from CryptoQuant stated:
Furthermore, CryptoQuant added that the current unrealized profit rate has not yet dropped enough to compel sellers to urgently sell off their Bitcoin holdings.
Some traders also hold a similar view, pointing out that any upward momentum has been suppressed as spot selling seems to have emerged.
Senior market analyst at FxPro, Alex Kuptsikevich, stated that although Bitcoin’s intraday volatility range exceeded 3.5%, the price “triggered orderly selling behavior” when it reached the high point of the recent trading range earlier on Wednesday. He said:
However, another CryptoQuant analyst, AxelAdlerJr, on the X platform, stated that the short-term holders’ Spent Output Profit Ratio (SOPR) has dropped below 1 on a weekly basis, indicating that most of the Bitcoin held by short-term holders is no longer profitable. “This fact will calm down those who panic and reduce selling pressure in the spot market.”
