Currently, 98% of BTC wallets are in profit, representing a cycle high, while Bitcoin supply in loss has decreased to below 2%. This shift from losses to gains indicates strong bullish sentiment in the market.
Despite the positive sentiment, rising Net Unrealized Profit/Loss (NUPL) suggests a heightened risk of distribution and potential overconfidence among holders. Historical data points to similar situations aligning with market euphoria.
Recent exchange netflows indicate an increase in BTC moving onto exchanges, suggesting potential selling pressure. Historically, such patterns often occur close to local tops, raising questions about future price movements.
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