CryptoQuant: The "Profit Supply" Level of Bitcoin Indicates Further Upside Potential

ChainCatcher news, according to The Block, CryptoQuant pointed out that the price of Bitcoin rose nearly 8% after the U.S. Federal Reserve cut interest rates by 50 basis points. Its "profit supply" indicator has broken through the 365-day moving average, suggesting further potential increases in the future.

This indicator shows that an increasing number of Bitcoin holders are in profit, which may alleviate selling pressure and boost market confidence. However, Bitfinex analysts caution that the rise in Bitcoin was initially driven by spot market purchases, and a slowdown in this activity could lead to consolidation or partial pullbacks in the short term.