BEARISH 📉 : Bitcoin Bull-Bear Indicator Hits Lowest Since 2022 Bear Market

Recent on-chain data reveals that CryptoQuant's Bitcoin Bull-Bear Market Cycle Indicator has entered deep bearish territory, reaching its most negative position since the 2022 market bottom.

The indicator is based on the P&L Index, which aggregates data from key on-chain metrics like MVRV Ratio, NUPL, and LTH/STH SOPR.
MVRV Ratio and NUPL assess unrealized network profits/losses, while LTH/STH SOPR evaluates realized profits/losses through transactions.
A crossover of the P&L Index below its 365-day moving average (MA) signals a bearish trend, which has recently occurred.
The current values indicate the index is nearing an extreme point below the 365-day MA, often associated with market lows.
Historically, reversals have followed after the indicator spends time in the "extreme bear" zone, though the duration can vary.

As of now, Bitcoin is trading around $68,000, experiencing a 4% decline over the past week.