According to PANews, recent analysis by CryptoQuant reveals that Bitcoin's Short-Term Holder Spent Output Profit Ratio (STH SOPR) has sharply fallen below 1, indicating that short-term holders are selling at a loss. This trend is a typical sign of panic selling among this group. Despite holding positions at a loss, these holders are actively selling off, with the panic selling estimated to exceed $3.39 billion at a price of $113,000 per Bitcoin.
Bitcoin's price continues to fluctuate near the realized price of short-term holders, which is the average on-chain cost price. Historically, this level often serves as a support during volatile phases. Additionally, large-scale investors, known as whales, are showing signs of pressure. New whales have realized losses amounting to $184.6 million, while older whales have realized losses of $26.3 million, both groups are engaging in risk reduction, which negatively impacts short-term market trends.
Furthermore, the Market Value to Realized Value (MVRV) ratio for short-term holders is approximately 1, suggesting that the average position is at the breakeven point. However, the SOPR being less than 1 indicates that many are selling below their cost price, reflecting panic selling among those who bought during recent price rebounds.
