CryptoSlate’s analysis of on-chain Glassnode metrics indicated mixed results for a Bitcoin bottoming.

Previous research published on Sep. 27 looked at the Percent Supply in Profit (PSP,) Market Value to Realized Value (MVRV,) and Supply in Profit and Loss (SPL) metrics, all of which indicated a bottom was forming at the time.

In revisiting these same metrics, it was noted that the PSP and MVRV still point to a bottoming, but the SPL no longer does.

Percentage of Bitcoin addresses in profit

The Bitcoin: Percent Supply in Profit (PSP) metric refers to the proportion of unique BTC addresses with an average buy price lower than the current price.

During bear markets, the percentage of Bitcoin addresses in profit had always dropped below 50%. Moving back above this threshold generally coincided with bullish price movements.

The chart below, which dates back to 2010, shows a current reading below 50%, suggesting a bottoming is on the cards.

However, analysis shows the percentage of BTC supply in profit dipping much lower than 50% in the past, with profitable addresses sinking as low as 30% in 2015, this being the most extreme example on record.

2015 was an irregular period, recording multiple swings above and below the 50% threshold before a decisive PSP breakout towards the end of the year. This corresponded with BTC recapturing $1,000.

Zooming in on 2022’s movement shows PSP dipping below the 50% threshold yet crossing back above it in December.

A decisive…