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Bitcoin shows “bottoming” signals as on-chain data turns bearish-to-neutral

CryptoQuant data cited by Bitcoin Magazine says long-term holders are in losses deeper than the broader market, a pattern that has appeared at past cycle bottoms, though analysts warn a true low may still require another capitulation move.

Reported · Written up by our desk · Market Structure

Bitcoin is flashing early “bottoming” signals, with blockchain data cited by Bitcoin Magazine pointing to on-chain metrics that suggest the market may be entering the early stages of a macro bottom.

The outlet attributes the view to two reports from blockchain analytics firm CryptoQuant, which said Bitcoin’s price action is increasingly behaving like gold’s safe-haven role and that recent on-chain signals align with the early phases of a bear-market bottom.

Bitcoin Magazine also highlights a specific metric from CryptoQuant, adjusted Net Unrealized Profit/Loss (NUPL) for long-term holders. It says long-term holders have crossed into negative territory and are sitting on greater unrealized losses than the broader market average, a setup that historically has shown up at major cycle bottoms.

Still, analysts caution against declaring a bottom too soon, noting that in prior cycles long-term holders saw even deeper and more prolonged negative readings before a true low. The report says today’s numbers have not reached the most extreme “depression territory,” and Bitcoin could still need one more capitulation leg, according to the outlet.

Latest closeGold $4,292.50 ▼0.6%|Bitcoin $84,310.25 ▼0.1%

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