Analysis: Bitcoin indicators show that the profit-taking phase is fading, and selling pressure from sellers is nearing exhaustion.

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On December 6, CryptoOnchain posted on social media that the Bitcoin SOPR ratio has dropped to 1.35, marking the lowest level since the beginning of 2024. As Bitcoin pulled back to $89,700, this indicator shows that the market’s profitability has been fully “reset.” The phase of large-scale profit-taking by long-term holders is fading, indicating that selling pressure is nearing exhaustion. Historical data shows that when the market cools down and the SOPR ratio drops to such a low level, it often means a local bottom is forming. If a trend reversal occurs at this time, it could lay the foundation for the next healthy round of upward movement. BlockBeats note: The Bitcoin SOPR Ratio is a relatively advanced on-chain metric in cryptocurrency analysis. It is a “ratio” version derived from the Spent Output Profit Ratio (SOPR), mainly used to determine whether the market as a whole is dominated by profits or losses, and to help judge which phase of the bull-bear cycle the market is in.

BTC-0.12%
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