Glassnode Data: Bitcoin Enters Consolidation Phase, Investors Shift to Protecting Profits! - Coin Bulletin

The MVRV ratio of Bitcoin is pulling back to its long term average of 1.74, which is seen historically as a key reorganization level indicating consolidation periods.

The cryptocurrency data analysis platform Glassnode shared striking data regarding the market situation of Bitcoin. According to the platform's analysis, the Market Value / Realized Value ratio of Bitcoin (MVRV) has pulled back to the long-term average level of 1.74. This level is historically regarded as an important reorganization level associated with consolidation periods. This situation is interpreted as a sign of cooling in unrealized gains, similar to the resolution in August 2024, and if this level is maintained, it may serve as support.

Most investors are still in profit

According to data from Glassnode, 88% of the supply of Bitcoin is still in profit. Losses, on the other hand, are mostly concentrated in investors who buy in the range of 95 thousand dollars to 100 thousand dollars. This metric also shows an upward rebound from its long-term average, indicating a large-scale readjustment of investor expectations without widespread capitulation.

Analysts consider the BTC Realized Profit/Loss Ratio rising above the level of 1.0 again as an important indicator signaling an increase in profit-taking tendencies. This recovery reflects an improvement in market sentiment and indicates that the demand is strong enough to absorb profit realization, which lays the groundwork for recovery.

In light of this data, crypto currency experts indicate that the price of Bitcoin may consolidate below the 95 thousand dollar level in the short term, but fundamental indicators continue to remain strong in the medium and long term. In particular, the high realization of profits in the market may increase the likelihood of new buyers entering the market, which could contribute to price stability.

The data shared by Glassnode is considered critical indicators for Bitcoin investors to understand market psychology and adjust their positions accordingly. Experts believe that the return of the MVRV ratio to its historical average indicates that the market has exited the overbought zone and is preparing the ground for a healthier upward trend.