Bitcoin Stress Index Hits New High as Half of Supply Held at Loss

The Bitcoin Impact Index has risen to 57.4, indicating high financial stress across Bitcoin user cohorts.

This index is a composite metric that draws on data from various sources, including on-chain transactions, ETF flows, derivatives activity, and liquidity metrics.

Nearly half of the total Bitcoin supply is now held at a loss, with over 4.6 million coins from long-term holders underwater, representing about 30% of their total holdings.

This marks a significant shift in market dynamics, with long-term holders previously holding out despite the downturn.

Short-term holders are also feeling the pinch, with 47% of the total Bitcoin supply held at a loss, matching stress levels recorded earlier this year.