CryptoQuant: Bitcoin’s on-chain profit-taking supply ratio approaches the critical 45% threshold, signaling a potential deep market reset

According to a post by the on-chain analytics platform CryptoQuant, Bitcoin’s “Percent of Supply in Profit” indicator is approaching the critical 45% threshold. Historical data shows this level typically coincides with periods of intense market stress and heightened risk of mass capitulation—contrasting sharply with bull market peaks, where the indicator often exceeds 90%. Current figures indicate that a large portion of Bitcoin holdings have shifted from profitable to unprofitable positions, signaling a deep reset in market expectations rather than a state of euphoria. From an on-chain perspective, profit compression often drives a transfer of coins from weak hands to long-term holders. This may intensify short-term volatility, but historically, such redistribution processes have contributed to healthier market structure—and longer-term opportunities may now be emerging.