Analyst: Long-term holders are still in deficit

On 20 July, CriptoQuant Analyst Darkfost wrote that long-term holders (LTHs) were still in a state of loss and that, according to SOPR indicators, they were still achieving more losses than profit. SOPR (Spent Output Profit Ratio, has spent the output margin) is used to measure the profit or loss ratio that UTXO achieves when spent. This figure shows only UTXO for long-term holders. In early July, the LTH SOPR (7-day moving average) fell to a low point of 0.73 in the current cycle, meaning that long-term holders sold bitcoin at an average loss of 27 per cent. The indicator has now recovered to 0.94, but is still below 1, indicating that the long-term holders as a whole are still selling at a loss. At the same time, its 30-day average has remained at 0.88 since 1 June and remains in a loss zone. Looking back at bear markets, it was observed that loss on long-term holders ' concentration of losses usually occurred and often occurred at a later stage。