Bitcoin (BTC) Price Prediction: Indicator That Nailed Market Bottoms is Back
Bitcoin's Net Unrealized Profit (NUP) ratio has hit 0.476, historically signaling short-term market bottoms.Summary
Bitcoin's Net Unrealized Profit (NUP) ratio has dropped to 0.476, a level historically associated with short-term market bottoms, marking its lowest point since April. The NUP measures the share of coins held in profit by comparing current prices to their last on-chain movement; low readings indicate capitulation, where most coins are near or below cost basis.
This 0.47-0.48 band has preceded reversals three times since early 2024, aligning with current conditions following a wash-out in leverage. If this pattern repeats, the reading below 0.5 suggests a local bottom, with previous rebounds from this zone averaging 15-25% over the following month.
While not a guarantee, the setup suggests a short-term relief rally may be imminent, potentially finding support between $100,000 and $102,000 before attempting further gains, contingent on improving global risk appetite and stabilizing U.S. yields.
(Source：CoinDesk)