Crypto analyst Darkfost said Bitcoin is in a phase of hesitant buying and selling as market confidence rebuilds, BlockBeats reported on Oct. 20. The analyst pointed to a profitable-supply ratio that fell to 53.8% after briefly topping 60%, near the 50% break-even line.
Metric scope
The ratio excludes Bitcoin held for more than 10 years to better reflect current circulating-market conditions, according to the report.
Cycle context
Darkfost said similar conditions can appear near a bear-market trough. After a sell-off and capitulation push profitable supply below 40%, the ratio usually needs time to recover above 50%, while confidence and new demand rebuild.
Source: BlockBeats flash, citing Darkfost.