As the cryptocurrency market prepares for a potential surge in 2025, analyst IonicXBT has shared his comprehensive guide how to identify the Bitcoin market top in this cycle. The analyst’s guide is based on SOPR (consumed production profit factor)one of the lesser known but extremely useful metrics for Bitcoin analysis.
Detailed Guide to IonicXBT SOPR Metrics
IonicXBT on X (formerly Twitter) informed its 125,000 followers that SOPR indicator has consistently and accurately predicted the peaks of previous cryptocurrency market cycles, citing cases from 2018 and 2021. SOPR is an indicator that tells us whether the average Bitcoin investor is currently selling their coins at a profit or a loss.
When the indicator is above 1, it means that the average holder in the sector is selling their coins at some profit at the moment. On the other hand, a value below this threshold means that selling at a loss is dominant among participants. According to chart he dropped it, he seemed to think so Bitcoin Moving Average The SOPR has fallen below 1.0, indicating that most of the used products are being sold at a loss.
He also stressed that the current decline in the SOPR indicator indicates that the bottom of the correction is nearwhich suggests that the market is not closed yet.
Interestingly, he urged his followers to remain tranquil, emphasizing the importance of SOPR spikes, noting that they often signal market tops as long-term holders lock in profits. He also assured them of his commitment to providing right signals for identifying market tops that focus on real strategies backed by data rather than media hype or speculation.
“But don’t worry, I’ll give you the summit signal first. No unnecessary noise, no nonsense, “Just real strategies backed by data,” the analyst said.
Alternative Guide to Understanding Bitcoin Market Peak Cycle
While IonicXBT has highlighted the SOPR indicator as a valuable tool for predicting market tops, other analysts such as Kaleo have shared alternative indicators. Kaleo presented a reverse Bitcoin chart suggesting that BTC could reach the trendline of its logarithmic growth curve by next year, potentially soaring to a massive price target of around $220,000.
In a recent post, Kaleo expressed growing optimism, stating, “Okay, I give up. Be more optimistic.” Analyzing the reverse chart, he suggests that Bitcoin tends to experience keen increases several months after a halving event, when BTC Miner Rewards are cut in half.
Kaleo believes Bitcoin will be consolidate for a few more days before initiating a rally that will break through multiple resistance levels. Based on the chart, it seems to predict Bitcoin will reach novel all-time highs early next month. At the time of writing, Bitcoin is trading at $62,092, up over 3% on the day.
Featured image created with Dall.E, chart from Tradingview.com
