#Bitcoin Supply in Loss Begins to Rise, Flashing Early Bear Market Signal.
Bitcoin is showing early signs of a structural shift as on-chain data suggests losses are beginning to spread across the market.
A key metric tracked by CryptoQuant, Bitcoin’s Supply in Loss (%), has started trending upward again. This move has historically aligned with the early stages of bear markets.
Supply in Loss measures the percentage of
#Bitcoin held at a price higher than the current market value. When this metric begins to rise, it indicates that more holders are underwater, not just recent buyers but increasingly longer-term participants as price weakness persists.
In past market cycles, this change in direction has marked the transition from bullish momentum into broader market stress, where selling pressure gradually expands beyond short-term holders.
Historical data shows a similar setup in previous cycles. In 2014, 2018, and 2022, Supply in Loss turned upward well before Bitcoin reached its actual market bottom. During those periods, the price continued to decline even after the signal appeared, with true bottoms forming only once losses spread much deeper across the network.
At present, the metric remains far below the extreme levels typically associated with full capitulation. However, the early directional shift itself is notable and suggests the market may still be in the early phase of a broader downturn.
Rather than pointing to a short-term correction within an ongoing bull trend, the data hints at a possible transition into a bear market structure. If Supply in Loss continues to expand, it would strengthen the case that
#Bitcoin is entering a prolonged distribution phase rather than a quick recovery.
#CryptonewswithJack