Glassnode: The market has entered the "deep bear" phase but has not yet experienced extreme panic selling. It is currently still in the process of bubble compression.

BlockBeats News, February 7 — Glassnode released a report on social media stating that around Halloween last year, on-chain investor behavior had already signaled a potential shift into a bear market. Within approximately 100 days thereafter, prices experienced a decline of about 45% (from $110,000 to $60,000).

“Long-term Holder Profit Taking Pressure” data shows that since November 1, long-term holders have realized an additional profit of approximately 318,000 BTC. This unusually large-scale sell-off in a weak market continues to exert downward pressure on prices. However, since early December, the amount of coins held by long-term holders has begun to increase, indicating that their selling activity has slowed.

“Market Loss Level” data indicates that at the $60,000 price level, the ratio has reached about 24%, significantly above the threshold for market transition from bull to bear. This suggests the market has entered a deep bear phase but has not yet reached the extreme panic sell-off stage of over 50%, implying that the market is currently in the process of bursting a bubble.

Additionally, since reaching the previous high in October, the price has consistently failed to stay above the cost basis of the top 1%, 5%, 10%, and 20% large holders. At the $60,000 level, the price is about 37% below the cost basis of the top 20% holdings (approximately $95,000), indicating that high-position buyers are under severe psychological pressure, similar to the market structure in May 2022.