According to on-chain analyst Axel Adler Jr. from CryptoQuant, approximately 94% of Bitcoin’s current supply is in the profit zone. He noted that a large portion of coins was acquired around the $55,000 mark, increasing the likelihood of investors taking profits.

94% of the Bitcoin supply is in profit, with the majority of coins having been purchased at the $55K level. pic.twitter.com/ccHeFIJJa3
— Axel 💎🙌 Adler Jr (@AxelAdlerJr) October 22, 2024

“A similar situation with significant profit volumes previously signaled substantial market corrections,” Adler observed.

Checkmate, another expert, pointed out that over the past few months, short-term investors have been actively purchasing Bitcoin during local dips, which could also indicate potential market shifts.

Historically, when unrealized profit levels reached similar highs, it often led to sell-offs. For instance, in September 2021, Bitcoin lost 8.7% of its value, dropping from $65,800 to $60,000.

Over 94% of the #Bitcoin supply is now back in profit.

In particular, Short Term Holders have been rewarded for buying the chopsolidation dip in recent months, with almost all of their holding back in the money.

This reinforces Buy-the-Dip behaviour, and is a sentiment tailwind pic.twitter.com/97yw1Dqp9I
— _Checkmate 🟠🔑⚡☢️🛢️ (@_Checkmatey_) October 21, 2024

Resistance Level Near $69,000

On October 21, Bitcoin hit $69,000 before correcting to $67,000. Japanese trader Jusko Trader described this correction as a “natural pause” that could precede the next growth phase.

Analysts from Greeks.live highlighted a significant increase in funding rates on Bitfinex, where the figure reached 30% annually. They view this as a bullish signal, indicating that large players are actively building positions.

Additionally, options traders have previously placed bets on Bitcoin surpassing $80,000.