Analyzing Bitcoin's macro market structure with SOPR Toolkit

SOPR stand for Spent Output Profit Ratio. It’s a Bitcoin on-chain metric that shows whether Bitcoin spent outputs (UTXO’s) are being realized in profit or loss. It’s calculated by dividing realized value by the value at creation (price sold / price paid).

SOPR servers as a great short/mid-term indicator.

Using the Glassnode BTC SOPR Toolkit, we can get insight into Bitcoin's macro market structure using a long timeframe (100 day) moving average.

Indicator - Glassnode BTC SOPR Toolkit

SOPR Toolkit Settings:
- Chart: 1 Day
- Moving Average Length: 100
- Moving Average Type: Volume Weighted Exponential Moving Average (VW-EMA)