On-chain data shows the historical 20-Day MA Bitcoin aSOPR support level has continued to hold so far.<\/p>\n
As pointed out by an analyst in a CryptoQuant post<\/a>, the BTC aSOPR recently retested its 8-year old support.<\/p>\n The \u201cSpent Output Profit Ratio<\/a>\u201d (or SOPR in short) is an indicator that tells us whether the average Bitcoin investor is selling at a profit or at a loss right now.<\/p>\n When the value of this metric is greater than 1, it means the overall market is moving coins at some profit currently.<\/p>\n On the other hand, values of the indicator less than the threshold suggest holders as a whole are realizing some loss with their selling at the moment.<\/p>\n Naturally, SOPR values exactly equal to 1 imply the investors are just breaking even on their investment right now.<\/p>\n \u201cAdjusted SOPR\u201d (aSOPR) is a modified version of this metric that excludes from the data any selling of coins that was done within 1 hour of first acquiring said coins.<\/p>\n Here is a chart that shows the trend in the 20-day moving average Bitcoin aSOPR over the last several years:<\/p>\n\n Looks like the 20-day MA value of the metric has sharply declined in recent days | Source: CryptoQuant<\/a><\/p>\n As you can see in the above graph, the 20-day MA aSOPR rapidly went down<\/a> following the FTX crash, and touched a low of 0.93 just a week or so ago.<\/p>\n This level was the same as the one seen during the lows of the previous bear markets, and each of the touches in those bears launched the metric back up.<\/p>\n The support line has now been active since 2014, and in the 8 years so far the indicator has never seen any actual dip below it.<\/p>\n Since the retest of this support level a week ago, the metric has already bounced back up, suggesting that this important support line is still holding right now.<\/p>\n However, it\u2019s uncertain whether this successful retest means the bottom is now in. Back In the 2018\/19 bear, it was indeed the case, but in 2014\/15 it took two touches of the line before the real bottom formed.<\/p>\n At the time of writing, Bitcoin\u2019s price<\/a> floats around $16.8k, up 3% in the last week. Over the past month, the crypto has lost 18% in value.<\/p>\n The below chart shows the trend in the BTC price over the last five days.<\/p>\n\n The value of the crypto seems to have been moving sideways since the surge | Source: BTCUSD on TradingView<\/a> <\/p>\n On-chain data shows the historical 20-Day MA Bitcoin aSOPR support level has continued to hold so far.<\/p>\n As pointed out by an analyst in a CryptoQuant post<\/a>, the BTC aSOPR recently retested its 8-year old support.<\/p>\n The \u201cSpent Output Profit Ratio<\/a>\u201d (or SOPR in short) is an indicator that tells us whether the average Bitcoin investor is selling at a profit or at a loss right now.<\/p>\n When the value of this metric is greater than 1, it means the overall market is moving coins at some profit currently.<\/p>\n On the other hand, values of the indicator less than the threshold suggest holders as a whole are realizing some loss with their selling at the moment.<\/p>\n Naturally, SOPR values exactly equal to 1 imply the investors are just breaking even on their investment right now.<\/p>\n \u201cAdjusted SOPR\u201d (aSOPR) is a modified version of this metric that excludes from the data any selling of coins that was done within 1 hour of first acquiring said coins.<\/p>\n Here is a chart that shows the trend in the 20-day moving average Bitcoin aSOPR over the last several years:<\/p>\n Looks like the 20-day MA value of the metric has sharply declined in recent days | Source: CryptoQuant<\/a><\/p>\n As you can see in the above graph, the 20-day MA aSOPR rapidly went down<\/a> following the FTX crash, and touched a low of 0.93 just a week or so ago.<\/p>\n This level was the same as the one seen during the lows of the previous bear markets, and each of the touches in those bears launched the metric back up.<\/p>\n The support line has now been active since 2014, and in the 8 years so far the indicator has never seen any actual dip below it.<\/p>\n Since the retest of this support level a week ago, the metric has already bounced back up, suggesting that this important support line is still holding right now.<\/p>\n However, it\u2019s uncertain whether this successful retest means the bottom is now in. Back In the 2018\/19 bear, it was indeed the case, but in 2014\/15 it took two touches of the line before the real bottom formed.<\/p>\n At the time of writing, Bitcoin\u2019s price<\/a> floats around $16.8k, up 3% in the last week. Over the past month, the crypto has lost 18% in value.<\/p>\n The below chart shows the trend in the BTC price over the last five days.<\/p>\nBTC Price<\/h2>\n
\nFeatured image from Andr\u00e9 Fran\u00e7ois McKenzie on Unsplash.com, charts from TradingView.com, CryptoQuant.com<\/p>","protected":false},"excerpt":{"rendered":"Bitcoin 20-Day MA aSOPR Rebounds Off Historical Support Line<\/h2>\n
BTC Price<\/h2>\n