Last evening, on July 3rd, the SOPR (Spent Output Profit Ratio) for long-term [ccpw id=60415] holders indicated values above 10, suggesting that these coins were moved on the blockchain with substantial profits. This high SOPR correlates with a price correction, implying that long-term investors realized profits over 10 times their initial investment.
Detailed Observations
The Spent Output Age Bands chart reveals the age categories of the moved coins. The highest activity was observed among holders who had kept their Bitcoins for 5-7 years. This significant movement from seasoned investors has impacted the market, contributing to a decline in Bitcoin’s price.
It appears that long-term investors have realized significant profits, contributing to the decline in Bitcoin’s price. It is crucial to closely monitor their behaviour, as continued selling could lead to further price drops. Market participants should remain vigilant and consider the potential for ongoing volatility in the coming days.
