An analyst claims that a golden buy-out will come this week as Bitcoin (BTC) speculators cut off and sell.
According to the data, SOPR (Spent Output Profit Ratio), which is the ratio of the purchase price to the sale price in the entire Bitcoin market, turned negative on the 9th for the first time in 6 weeks.
SOPR insists on “buying a bargain”
The negative reversal of SOPR is a classic buy signal. This means that sellers are dropping BTC and throwing it away, and in oversold markets, Bitcoin is the time to buy. It’s ripe for long-term Hodler looking to profit from cheaper Bitcoin.
The last time SOPR went negative was on August 21, just before Bitcoin recovered $ 50,000.
Philip Swift, an analyst at trading platform Decentrader, said yesterday that “SOPR became negative (green) yesterday after being sold by speculators.”It pointed out。
“A lot of forced sales during the summer have drawn a picture similar to the funding rate of the last few months, and now it’s an opportunity to buy a bargain.”
Good news for Bitcoin bulls
As previously reported, the fall in BTC prices on the 7th came from over-leveraged traders who couldn’t stand the selling pressure from young whales.
Optimistic views on sustained price increases are returning as the market wipes out these players.
On the other hand, Whalemap, an on-chain monitoring resource, suggests that higher levels may come back, as well as SOPR data.
“The good news is that SOPR is around 1 in an uptrend market,” Whalemap said of the current SOPR numbers.comment.. However, Whalemap commented on Cointelegraph, adding that the market is characterized by “a little more flattening” before it rises.
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