BlockBeats message, March 31, CryptoQuant analyst Crypto Dan said that Bitcoin’s long-term holder SOPR (realized profit-to-loss ratio) has fallen below 1, indicating that even long-term investors are selling at prices that reflect losses. Because long-term holders are the group least sensitive to short-term fluctuations, when they start realizing losses, this can be interpreted as the broader market entering a state of capitulation.
At this point, short-term holders have likely already exited the market ahead of time, or have suffered significant losses. In other words, most participants in the market are in a losing position. Historically, this situation often leads to the gradual exhaustion of selling pressure, forming a market bottom or an area near long-term lows. While it may still be too early to say that the current market is the absolute bottom, when losses become widespread, it often marks the final stage of fear sentiment—and the beginning of opportunity.
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