Bitcoin's on-chain profitability has turned negative for the first time since 2023, indicating a potential shift towards bearish market sentiment. This development suggests that more Bitcoin is being sold at a loss than at a profit, a signal often associated with the onset of early bear phases. Currently, Bitcoin is trading around $89.6K, with analysts closely watching the $80K–$75K support zone as a critical level for market stabilization.
The $80K–$75K range is seen as a significant support area, both historically and psychologically. If Bitcoin maintains this level, it could lead to a stabilization phase, allowing the market to reassess and potentially set the stage for future bullish action. However, losing this support could result in deeper downside risks. Technical indicators remain neutral-to-bearish, with the MACD below the zero line and RSI around 48-50, reflecting a market in indecision.
Bitcoin On-Chain Profitability Turns Negative, Signaling Market Caution
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