SOPR Ratio

Definition ∞ The SOPR ratio, or Spent Output Profit Ratio, is a blockchain metric that assesses the profitability of all spent outputs on a given day, providing insight into whether investors are realizing gains or losses. It is calculated by dividing the realized price of all spent outputs by the realized price of all outputs at the time they were created. A ratio above 1 indicates net profit-taking, while a ratio below 1 suggests net losses.
Context ∞ The SOPR ratio is frequently analyzed by traders and analysts to gauge market sentiment and identify potential trend reversals in cryptocurrency markets. Discussions often revolve around its predictive power for identifying bull and bear market phases, as well as its utility in confirming price action. Current analysis often compares the SOPR ratio’s behavior across different market cycles and its correlation with other on-chain metrics to provide a more comprehensive market outlook.

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→Long-Term Holders

→Bitcoin Price Action

Bitcoin Market Resets as Key Profitability Indicator Hits Two-Year Low

Bitcoin's price dip below $90,000 signals a market reset, as long-term holders halt selling, clearing speculative excess.

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→Market Profitability

→Market Reversal

→Market Sentiment Analysis

Bitcoin Profitability Resets as SOPR Hits Multi-Year Low

The Bitcoin SOPR has fallen to its lowest point since early 2024, signaling a full market profitability reset and reduced selling pressure.

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→Cryptocurrency Indicators

→Supply and Demand

Bitcoin Profitability Resets, Signaling Potential Market Bottom

Bitcoin's SOPR ratio hit a multi-year low, indicating a full profitability reset and potentially signaling a market bottom.

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→On-Chain Metrics

→Market Sentiment

Bitcoin Short-Term Holders Show Renewed Confidence Pre-Fed Decision

Bitcoin's short-term investors are positioning for a positive Fed outcome, with key on-chain metrics indicating renewed confidence.