Bitcoin's SOPR Ratio Falls Below 1, Bottom Signal Strengthens

What is SOPR?
SOPR (Spent Output Profit Ratio) is an on‑chain indicator that measures whether spent outputs are sold at a profit or a loss.
A value below 1.0 generally signals that the average sale is at a loss.
Recent Developments In recent days, Bitcoin’s SOPR ratio slipped below the 1.0 threshold.
Analysts note that this decline coincides with periods in past cycles where speculative positions were largely liquidated and a bottom was forming.
Conditions for Bottom Formation Two key factors are highlighted for bottom formation: a weakening of selling pressure as investor interest wanes, and the transfer of assets from panicked sellers to long‑term holders.
However, a single drop below 1.0 is not considered a definitive sign of a lasting recovery.
Analyst Views Experts emphasize that the SOPR must rise above 1.0 and remain there to confirm a bottom.
During this process, Bitcoin supply is seen as moving into the hands of more patient buyers.