On-chain data shows the percentage of the Bitcoin supply in loss has surged to almost 50% now as the crypto’s price tumbles below $20k.
49.94% Of The Total Bitcoin Supply Is Now Holding Some Loss
As pointed out by an analyst in a CryptoQuant post, the drop below $20k has now put almost 50% of the supply underwater.
The “percent supply in loss” is an indicator that measures what part of the total Bitcoin supply is currently in the red.
The metric works by checking the transfer history of each coin on the chain to see what price it was last moved at.
If the previous selling price of a coin was more than the current BTC price, then that particular coin is being held