Data: On-chain indicators show that BTC is at or near the cycle bottom, and the profit and loss chips are tending to converge

Glassnode data shows that currently about 11.1 million BTC are in profit (i.e., the purchase cost is lower than the current market price), while about 8.9 million BTC are in loss.

As the gap between the two continues to narrow, the comparison of BTC supply in profit versus supply in loss is approaching a key convergence range that has historically appeared multiple times. This indicator measures the number of wallets currently in a profit state against the number of wallets in a loss state. When the two gradually tend to balance, it often corresponds to a market phase bottom region in history, regarded as an important signal for market capitulation and long-term layout opportunities. If the profit and loss supply further converges, it may indicate that the market is entering a historically common cycle bottom building phase, but it still requires a comprehensive judgment considering factors such as macro liquidity, derivatives structure, and market sentiment.