Analyst: Currently, nearly 40% of BTC chips have entered a loss state, reaching the target level of the first round of decline in multiple previous bear market cycles.

According to BlockBeats news, on November 18, on-chain data analyst Murphy posted on social media that the 7-day average of BTC's Profit Supply Percentage (PSIP) has fallen below 70%, indicating that nearly 30% of the chips on the entire chain are now in a loss state after this round of decline. If we exclude BTC that has long been inactive, lost, or similar to Satoshi Nakamoto's addresses, this percentage is expected to reach over 40%. Murphy further stated that in the first round of the bull-to-bear cycle over the past 10 years, the PSIP has always reached the current position, followed by a rebound after extreme emotional pressure. This was the case in 2018 and 2020. In particular, 2020 also included the 519 Black Swan Event. However, even if a rebound occurs, it may not be able to form a new upward trend because there are too many chips in the market waiting to exit during the rebound.