Bitcoin unspent transaction outputs signal capitulation underway: analyst
Bitcoin onchain data suggests capitulation is underway, a pattern that has often aligned with bear-market bottoms. The ratio of UTXOs spent in profit versus at a loss has dropped to its lowest point in this cycle, indicating more coins are being realized at a loss and broader selling exhaustion may be starting. Similar levels last appeared near the 2023 bear-market low around $26,000. Long-term holders are also showing signs of capitulation, with SOPR moving negative, while short-term holders are driving much of the selling through exchange inflows. Analysts say Bitcoin may be in a base-building phase, but momentum remains weak and the bottoming process could take time. Geopolitical tensions from renewed U.S. strikes on Iran could add near-term selling pressure.
