As the Bitcoin market continues to experience a wave of selling that began in mid-October, recent on-chain data paints a somewhat optimistic picture of the cryptocurrency’s future. The question is: has Bitcoin bottomed?
Is a BTC Price Reversal Imminent?
In a recent Quicktake post on the CryptoQuant platform, pseudonymous crypto expert Sunny Mom said shared that a bottom formation for the Bitcoin price could be just around the corner. Sunny Mom’s post was based on four different on-chain metrics, all of which looked at the behavior of Bitcoin market participants.
The first of these is the Futures Taker CVD (Cumulative Volume Delta, 90-day) metric, which helps track the net difference between aggressive buying and selling volumes (also called taker orders) in the Bitcoin futures market over the past 90 days.
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According to the online expert, the more dominant sales zones (in red) are turning into neutral zones. This means that the leveraged short positions (typically held by the most fearful and aggressive Bitcoin market participants) are slowly disappearing, indicating the weakening of these speculative hands.
The on-chain analyst then referred to data from the Spot Taker CVD (Cumulative Volume Delta, 90-day) metric. Although the number of speculative sellers is decreasing, spot CVD still appears to be in the red. Normally, a ‘red’ value of this metric suggests that Bitcoin holders are still selling their coins.
Another interesting occurrence is that the Bitcoin: Stablecoin Supply Ratio (SSR) has fallen to a signature low. For context, this metric measures the ratio between the supply of Bitcoin and the supply of stablecoins (such as USDT and USDC).
A high SSR indicates that there are fewer stablecoins compared to Bitcoin. As an extension, it indicates that there is lower purchasing power to buy Bitcoin to send the price upward. On the other hand, a low SSR indicates a relative abundance of stablecoins compared to the main cryptocurrency, indicating the presence of more potential purchasing power in the Bitcoin market.
When examining past price action, it is clear that periods when the SSR has read ‘significantly low’ have often preceded significant price rebounds in the flagship cryptocurrency. If history is anything to go by, the analyst concluded that we may be headed for another recovery as the SSR measure is currently hovering around an all-time low.
Finally, Sunny Mom explained that Adjusted Spent Output Profit Ratio (aSOPR) data also supports the general suspicion of an impending price bottom. The aSOPR is currently around 1.0 – a level whose breakthrough in April 2025 preceded a major price turnaround.
Bitcoin price at a glance
At the time of writing, the price of BTC is around $102,510, reflecting an increase of more than 1% in the last 24 hours.
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Featured image from iStock, chart from TradingView