Bitcoin has maintained its position above the $80,000 mark, supported by strong holders absorbing profit-taking sales. However, an important on-chain indicator, the adjusted Spent Output Profit Ratio (SOPR), has stayed above 1 for several consecutive days, signaling that coins moved on-chain are generally sold at a profit. This suggests that holders are still realizing gains, but such sustained profit-taking could eventually exhaust buyer appetite and trigger a price pullback.
Adding to caution, the Crypto Super Hub’s CSH Score, a trend oscillator that gauges market extension using long-term growth benchmarks, recently reached 41. This level falls into a zone historically associated with overextended rallies during bear markets. Previous instances when the score crossed 40 resulted in sharp Bitcoin corrections, making the current phase a potential red flag for traders. Although the analyst behind the score stressed the limited sample size, the signal indicates the value of profit-taking or increased caution.
Further evidence of a weakening rally comes from exchange reserve trends. Recent data showed a rise in Bitcoin entering centralized exchanges, which typically suggests selling pressure. Despite institutional funds reportedly increasing their Bitcoin holdings, month-on-month reserves on exchanges moved higher—a pattern often linked to bearish sentiment. This discrepancy between public buying declarations and actual on-chain flows raises questions about the sustainability of the current rally.
While the spot taker Cumulative Volume Delta (CVD) metric points to buyer dominance, the rally is marked more by reduced selling pressure than by fresh, strong demand comparable to previous bull market phases. Combined, these factors highlight the potential for a correction after a period of realized profits and growing exchange supply.