Bitcoin SOPR Metric Streaks Past Three Weeks as Bull-Market Signs Emerge

Bitcoin's SOPR metric has been above its breakeven point of 1 for three full weeks, marking its longest stint in that position this year. According to data from CryptoQuant, the spent output profit ratio (SOPR) has stayed above 1 since August 19th.

This indicates that coins are being moved onchain at a higher price compared to their previous transaction, which is a sign of overall bullish market momentum. The current value of SOPR measures 1.002, showing that the majority of coins moving onchain are being done so in profit.

Analysis suggests that this trend reflects a return to bull-market conditions, with early indicators similar to those seen in past recoveries. However, not everyone is convinced that this signals a reversal of fortune for Bitcoin.

David Puell, the creator of the Puell multiple BTC price indicator, warns that more evidence is needed before assuming the next bear-market floor is already in. He suggests that further upside is less likely and leaves the option open for downside risk, stating that SOPR needs to remain above 1 for an extended period.