Bitcoin (BTC) holders are sitting on their largest unrealized profits since mid-2025, creating conditions for a potential price correction as traders show an increasing appetite for profit-taking after the cryptocurrency’s recent push toward $80,000.
"Bitcoin’s rally has pushed traders back into profit, with holders cashing out at the fastest pace since December," analytics firm CryptoQuant said in a recent report. The firm noted that the average trader is sitting on an 18% unrealized profit margin, the highest since June 2025, a level where selling has historically picked up.
Data from CryptoQuant shows that traders are realizing more than 20,000 BTC in net profits on a 30-day rolling basis, the first positive reading since December 2025. The Short-Term Holder Spent Output Profit Ratio (STH-SOPR), a key on-chain metric, has also risen above 1, a level that indicates short-term holders who have held BTC for less than 155 days are selling at a gain.
The surge in profit-taking comes as analysts debate whether the recent rally is a sustainable recovery or a temporary bounce. While U.S. spot ETF inflows topped $1 billion for the week before a Friday outflow, the market remains split on the durability of the move above key technical levels.
Analysts at CryptoQuant argue the rebound from April lows looks more like a bear-market rally than a confirmed trend reversal. They point to the high level of realized profits as a signal of a potential local top, suggesting that demand has not yet caught up enough to absorb the selling pressure and sustain a move higher.
Singapore-based market maker Enflux attributed the rally to a broader risk-on reaction after President Donald Trump paused a U.S. naval operation near the Strait of Hormuz. However, the firm warned that the market may be overestimating the durability of this macro catalyst, noting previous diplomatic pauses have often reversed quickly.
In contrast, analytics firm Glassnode offered a more constructive view, arguing that bitcoin has reclaimed two important on-chain levels: the True Market Mean at $78,200 and the short-term holder cost basis near $79,100. Glassnode sees this as a sign of an early structural recovery, identifying the area around $85,200 as the next major resistance zone. Still, the firm noted that long-term holders are beginning to realize profits, which could cap a more durable move higher without stronger spot demand.
This article is for informational purposes only and does not constitute investment advice.
