While Bitcoin ($BTC) has been breaking records last year, the bad times don’t seem to be over for altcoins that have lagged behind $BTC.
At this point, the analytics company stated that selling pressure on altcoins may increase.
According to the latest analysis from on-chain analytics firm Glassnode, the top 500 altcoins have reached a critical threshold.
Glassnode noted that investor sentiment in the altcoin market has returned to equilibrium levels, but a strong selling pressure could also emerge.
At this point, Glassnode noted that the average Spent Output Profit Ratio (SOPR) of the top 500 altcoins by market capitalization has reached one.
This is Bitcoin’s highest level since its all-time high, and it represents the break-even point for investors.
SOPR is an on-chain metric that indicates whether investors are selling cryptocurrencies at a profit or a loss. A value of 1 generally means that cryptocurrencies are being sold at the break-even point on average. A value below 1 indicates that investors are selling at a loss, while a value above 1 indicates that they are selling at a profit.
Glassnode noted that historically, after reaching this level, there tends to be an increase in overall selling pressure in the market, indicating that this region is an area where selling pressure can increase again.
The analytics firm concluded by stating that most altcoin investors have been selling at a loss since the end of 2024.
*This is not investment advice.