Edris
Long-term holders capitulation phase has begun
✔️ Markets usually tend to put in a bottom, when massive losses are inflicted on the market participants, an event which is known as “capitulation”. In bear markets, long-term holders' capitulation usually marks a multi-year bottom. ✔️ This chart demonstrates the long-term holders’ SOPR, a metric which measures the amount of profits/losses which are realized by this cohort. It is evident that during previous bear markets, a lengthy period of long-term holders’ capitulation occurred as these participants were exiting the market at a loss and selling their undervalued coins to new participants or “smart money” which are happy to buy an undervalued asset in huge chunks and hold for extraordinary returns in the future bull market. ✔️Currently, the long-term holders are entering the capitulation phase and are selling at a loss, indicating that the smart money accumulation phase has begun, and the next few months would present a great opportunity for long-term investing in the market.