Bitcoin 150-Day MA aSOPR Currently Has A Value Of 1.01
As pointed out by an analyst in a CryptoQuant Quicktake , the 150-day moving average (MA) of the Bitcoin aSOPR has a value of just 1.01 right now. The “Adjusted Spent Output Profit Ratio” (aSOPR) here refers to an indicator that basically tells us about whether the BTC investors are selling their coins at a profit or loss.
This metric works by going through the on-chain history of all tokens being sold/transferred to see what price they were transacted at prior to this. When this price for any coin is less than the current price at which they are now being sold, then that particular token’s sale could be assumed to be leading to profit realization.
Earlier in the year, the indicator had grown to a high of 1.04 as the investors had taken the profits of the rally. As the consolidation of the cryptocurrency has dragged on, though, the metric has declined, with its value now sitting at 1.01.
In the chart, the quant has highlighted two zones that have historically been significant for the aSOPR. The first is the region under 0.98, where bottoms have historically occurred. At levels this low, the investors are participating in notable loss realization. Resolute hands pick up the coins from these capitulators, thus helping the price reach a point of turnaround.
The other zone is the one above 1.08, where tops have formed in the past as a result of the aggressive profit-taking from the whales. So far, the current cycle hasn’t seen the Bitcoin aSOPR visit this territory.
“Based on previous trends, accumulating Bitcoin until aSOPR reaches 1.04 could be a solid strategy for long-term gains,” says the analyst. “Timing the market by observing whale behavior may prove fruitful.”
