Blockchain data shows that long-term holders of bitcoin (BTC) are profitable for the first time in almost a year, which has historically presaged major market rallies. The seven-day average of bitcoin's long-term holder spent output profit ratio (LTH-SOPR) has crossed above 1 for the first time since May 2022, indicating that coins moved on average are being sold at a profit. However, the LTH cohort consists of many 2021-22 cycle holders who are likely to create resistance throughout the market recovery, according to James Check of Glassnode. South Korea-based analytics firm CryptoQuant also said a return to profitability might inject selling pressure to the market.
(By Omkar Godbole)