According to a report by CoinDesk, blockchain data analytics company CryptoQuant believes that there is still a risk of further downside for Bitcoin. An analyst from CryptoQuant shared in a report on Thursday (18th) with CoinDesk, stating that:
Furthermore, CryptoQuant added that the current unrealized profit ratio has not dropped enough to urge sellers to urgently sell all of their held bitcoins.
Some traders also hold a similar view, pointing out that as spot selling seems to have emerged, any upward momentum has been suppressed.
Senior market analyst at FxPro, Alex Kuptsikevich, stated that despite Bitcoin’s daily volatility range exceeding 3.5%, when the price reached a recent high in the trading range earlier on Wednesday, it “triggered orderly selling behavior.” He said:
However, another CryptoQuant analyst, AxelAdlerJr, on the X platform, stated that the short-term holder’s spent output profit ratio (SOPR) has dropped below 1 weekly, meaning that most of the bitcoins held by short-term holders are no longer profitable, “this fact will calm down those in panic and reduce selling pressure in the spot market.”