Supply in Profit Indicator Shows Positive Signals for Bitcoin Amid Market Consolidation

Updated

April 17, 2025

Gambar Supply in Profit Indicator Shows Positive Signals for Bitcoin Amid Market Consolidation

Jakarta, Pintu News – The cryptocurrency market, particularly Bitcoin , is back in the spotlight after important on-chain indicators showed positive trends that could be a sign that the bull market cycle is still ongoing.

The latest data from CryptoQuant shows that the percentage of Bitcoin supply that is still in profit remains above the 70% mark, the psychological threshold that once marked the transition to a bear market in previous cycles. This encourages optimism that the current correction is merely a consolidation phase within a larger uptrend.

What is the Supply in Profit Indicator?

The Supply in Profit indicator measures what percentage of the total Bitcoin supply is currently held in profit, i.e. when the current price is higher than the last purchase price of the token. This data is taken from each coin’s transaction history to determine the last price at which the coin changed hands. If the purchase price is lower than the current market price, then the coin is considered to be in unrealized profit.

The opposite is the Supply in Loss indicator, which shows what percentage of the supply is at a loss. The two complement each other and the sum is always 100%. When Supply in Profit is high, it means that the majority of BTC holders are in a positive state, which often boosts market confidence and the potential for further buying.

Also Read: XRP Current State: Price Consolidation and Potential Breakout Amid Ripple and SEC Deal

Supply in Profit Remains Above 70%

According to a chart shared by analysts at CryptoQuant, although Bitcoin’s price has experienced a decline in recent months, the Supply in Profit indicator still hasn’t dropped below 70%. In previous cycles, a drop below this level signaled the start of a bear market. The fact that Bitcoin has not yet broken this limit gives hope that the bull cycle is still holding.

The 80% level is also an important point, where when the indicator broke above it in the last two cycles, it was the start of a significant rally in Bitcoin price. Currently, the indicator is in the process of approaching the 80% line again after having dropped due to the price correction. According to analysts, if Supply in Profit surpasses 80% again, it could mark the start of a strong bullish momentum.

Bitcoin price corrects, but bullish structure remains intact

Currently, the price of Bitcoin has dropped to $83,900 or around Rp1.41 billion (at an exchange rate of Rp16,820/USD) after previously recording a recovery rally. Nonetheless, on-chain conditions show that the market structure is yet to show signs of a major trend reversal. Most long-term holders are still in favorable conditions, indicating strong confidence in the asset.

The current price movement could be a natural consolidation phase within a longer uptrend. This is often an accumulation opportunity for long-term investors who see the medium to long-term potential of Bitcoin as a major crypto asset.

Positive Signals Amid Macroeconomic Uncertainty

Amid pressures from global economic policies such as fiscal tightening and geopolitical uncertainty, on-chain indicators such as Supply in Profit provide an alternative perspective on the strength of the crypto market. When these indicators remain in the green, it reflects structural optimism in the market, although short-term sentiment can be volatile.

CryptoQuant concluded that the next short-term target is to push this indicator back to the 80% level, which has historically been a strong signal for the start of a major upside phase. This is a reason for investors to remain vigilant but also not overly pessimistic about the direction of market movements in the near future.

Conclusion

Although Bitcoin price is consolidating, the Supply in Profit indicator shows that the majority of BTC owners are still in profit, which is a strong fundamental signal for the continuation of the bullish cycle. With the support of historical data and on-chain strength, the current crypto market still has a solid foundation to continue the positive trend, especially if Bitcoin breaks key technical levels again in the next few weeks.

Also Read: XRP Price Outlook After Ripple and SEC Lawsuit Settlement

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*Disclaimer

This content aims to enrich readers’ information. Pintu collects this information from various relevant sources and is not influenced by outside parties. Note that an asset’s past performance does not determine its projected future performance. Trading crypto carries high risk and volatility, always do your own research and use cold hard cash before investing. All activities of buying andselling Bitcoin and other crypto asset investments are the responsibility of the reader.

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