Summary
- Glassnode said buying demand in the Bitcoin (BTC) market remains strong enough to keep prices from falling immediately even as profit-taking emerges.
- Glassnode said a sustained move in Entity-Adjusted SOPR above 1 is a hallmark of a bull market.
- Glassnode added that if SOPR falls back below 1, it could be seen as a sign that current buying demand is weakening.
Forecast Trend Report by Period
Bitcoin is drawing enough buying demand to keep prices from falling immediately even as profit-taking emerges in the BTC market, according to Glassnode.
The on-chain analytics firm wrote in a post on X on Sept. 19 that current buying demand is strong enough to prevent Bitcoin from dropping right away even when it is sold at a profit.
Glassnode said a sustained Entity-Adjusted SOPR reading above 1, which reflects market participants' realized profit and loss, is a hallmark of a bull market. When SOPR is above 1, it means Bitcoin transferred on-chain is, on average, being sold at a profit.
It added that if SOPR falls back below 1, it could signal that current buying demand is weakening.
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