Bitcoin's Profit Supply Percentage (PSIP) 7-day average has fallen below 70%, signaling a potential shift from bull to bear market conditions, according to chain data analyst Murphy. Historical trends indicate that this level often precedes a market rebound, but a further drop below 50% could mark a deep bear phase. The anticipated price range for such a decline is between $60,000 and $70,000.
Currently, with Bitcoin priced at $92,000, approximately 6.7 million BTC, or 33% of the total supply, are in a loss position. Should the price fall to $59,000, the number of BTC in loss could increase to 9.744 million, with the PSIP nearing 50%, highlighting the risk of significant market downturn.
Bitcoin Faces Potential Deep Bear Phase as PSIP Drops
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