Key signal indicating the profit and loss ratio release of short-term Bitcoin holders: The November decline may have already bottomed out

MetaLord420 · 2026-01-20T12:16:48+00:00

On-chain data shows that the profit and loss ratio of short-term Bitcoin holders dropped to 0.013 on November 24, indicating that the market has reached a major support level. Recent indicators have risen back to 0.5, suggesting an improvement in short-term holders' profitability and a shift in market sentiment. Currently, Bitcoin's price has risen to $91.21K, implying that the market may have completed its bottom formation and is entering a new upward cycle.

MetaLord420

2026-01-20 12:16:48

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On-chain data shows that the short-term Bitcoin holder profit and loss ratio dropped to an extreme level of 0.013 on November 24th, a figure that coincides with the period when BTC price hovered around $80,000. Historically, such extreme ratios often indicate that the market has reached a major support level or a local bottom.

Notably, this indicator has quickly rebounded to around 0.5, suggesting a significant improvement in the profitability of short-term holders. This rapid recovery typically signals a shift in market sentiment, with short-term traders regaining profit opportunities.

The current Bitcoin trading price has risen to $91.21K, further confirming the authenticity of this rebound. The short-term holder profit and loss ratio has rapidly recovered from extreme pessimism, which is often seen by market participants as a reversal signal. This technical improvement, coupled with rising prices, implies that the market may have completed its bottom formation, and a new upward cycle is brewing.

BTC-0,35%

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