The Bitcoin market has experienced a negative turn, as a key profitability indicator recently became negative after the digital asset’s value dipped to $22,000. The 30-day Simple Moving Average of the average Spent Output Profit Ratio (aSOPR) fell back below 1, which some analysts see as a bearish sign. This means that the market is now realising losses, says crypto data analytics firm Glassnode. Conversely, if the aSOPR is above 1, it usually indicates a healthier inflow of demand and a more constructive opinion of Bitcoin, according to Glassnode. Another key profitability indicator that could also turn negative is the 30-Day Simple Moving Average of Glassnode’s Realised Profit and Loss Ratio, which has been falling in recent days.
