Bitcoin Bull Market Confirmed by Entity-Adjusted SOPR
The Bitcoin market is showing signs of a bull run, with key indicators pointing to sustained demand and a strong upward trend. One such indicator is the entity-adjusted SOPR (Spent Output Profit Ratio), which has been holding above 1 for six months. This metric measures the average profit made by entities selling their BTC holdings, and its sustained value above 1 indicates that these entities are not selling at a loss.
The Glassnode data shows that the entity-adjusted SOPR has withstood multiple tests throughout this period, distinguishing it from earlier consolidation phases. A drop below 1 would mark fading demand, but for now, it's a sign of healthy market activity.
BTC price prediction models and Bitcoin market analysis are taking note of this indicator, incorporating its readings to gauge the strength of the current bull market phase. The price itself is sitting at $81,289.07, pushing against the upper Bollinger Band resistance of $82,281.49. The RSI (Relative Strength Index) indicates overbought conditions with a reading of 77.22.
However, the EMA50 support level at $78,029.75 and the EMA200 at $74,979.27 provide a solid anchor for the bullish structure. Additionally, the MACD (Moving Average Convergence Divergence) has produced a golden cross at 1,125.19, confirming the upward trend.