Bitcoin Profit Ratio Approaches Bear Market Lows
A recent analysis of Bitcoin's profit ratio suggests that selling pressure may be decreasing, potentially signaling the end of the current bear market.
According to Darkfost, a cryptocurrency analyst at Woofun AI, the percentage of Bitcoin supply in profit has declined to 52%, approaching the typical range observed during late-stage bear markets.
This ratio has historically fallen below 50% during deepening bear markets, indicating that loss-making holdings surpass profitable ones. However, when it briefly dipped below 50% between June and July this year, a pattern similar to previous market bottoms was observed.
Data compiled by Woofun AI shows that such brief breaches often signal the end of a downtrend. The current reading of 52% remains above historical extremes, but external variables like macroeconomic conditions, regulatory policy shifts, and institutional adoption also influence price trajectories.