Key metrics for bitcoin tip bearish as global economy wobbles

The global economy wobbled last week on revelations China’s domestic market appeared to be weakening, perpetuating a risk-off mood from equities and crypto

article-image

Millenius/Shutterstock, modified by Blockworks

share

Flagship crypto bitcoin is beginning to unwind its momentum from earlier this year, following its largest single-day loss in 2023 late last week.

The asset has hit a 5-month low in its aSOPR (7-day moving average), falling to 0.99251, data from blockchain analytics provider Glassnode shows. Bitcoin has also closed below its 200-day moving average for the first time since February.

The aSOPR (Adjusted Spent Output Profit Ratio) measures the profit and loss of coins moved on-chain. A decrease in the figure could indicate investors are selling at a loss.

Closing below the 200-day moving average, typically viewed as a bearish sign in financial markets, adds further insight into the industry marked by fresh volatility and regulatory challenges. 

Those metrics square against a global economy grappling with uncertainty, emphasizing the shifting focus this year away from digital assets and a potential pivot in investor sentiment. 

Selling pressure has swept across global markets, causing Wall Street’s primary indexes to end lower on Friday, while Asian shares ended down for a third straight week of losses. 

The driving factors behind these movements center on apprehensions about the state of China’s economy and the expectation that US interest rates will be maintained at higher levels for a more prolonged period.

While bitcoin’s (BTC) correction cannot be traced back to a single piece of fundamental news, several factors likely contributed, fintech firm NYDIG wrote in a recent research note.

Those include the bankruptcy of Evergrande late last week, a simultaneous Wall Street Journal article observing that SpaceX had disposed of all its bitcoin holdings in 2022 and the ongoing weakness in risk-associated markets such as equities since the beginning of the month.

“One ‘tell’ about the move on Thursday was the price action in alts on Wednesday,” NYDIG wrote. “Unexplained significant weakness was seen in many altcoins that perhaps portended the move in the major coins, such as bitcoin.”


Start your day with top crypto insights from David Canellis and Katherine Ross. Subscribe to the Empire newsletter.

Explore the growing intersection between crypto, macroeconomics, policy and finance with Ben Strack, Casey Wagner and Felix Jauvin. Subscribe to the Forward Guidance newsletter.

Get alpha directly in your inbox with the 0xResearch newsletter — market highlights, charts, degen trade ideas, governance updates, and more.

The Lightspeed newsletter is all things Solana, in your inbox, every day. Subscribe to daily Solana news from Jack Kubinec and Jeff Albus.

Tags

Upcoming Events

Javits Center North | 445 11th Ave

Tues - Thurs, March 18 - 20, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

Brooklyn, NY

TUES - THURS, JUNE 24 - 26, 2025

Permissionless IV serves as the definitive gathering for crypto’s technical founders, developers, and builders to come together and create the future.If you’re ready to shape the future of crypto, Permissionless IV is where it happens.

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Research Report Templates (15).png

Research

A spot listing on Binance can support highly favorable short term returns. Tokens that TGE on Binance exhibit lower short term returns when compared to tokens that receive the listing after TGE. Both spot and futures listings support higher returns, while a spot listing is historically more favorable. Tokens that have yet to receive a Binance spot listing may be trading at a 30-50% discount to their market value upon receiving a Binance spot listing.

article-image

AI agent tokens crash to $8 billion from a $20 billion peak

article-image

The hardest part about crime season is uncovering that we’re in one

article-image

Fundamentals are starting to play a big part in crypto, so here are the metrics to watch

article-image

MetaDAO’s founder thinks MetaDAO can become the default governance platform for Solana within six to 18 months

article-image

While some view the firm’s BTC buying pause as a bearish development, a couple analysts think differently

article-image

Tariffs issued on three of the US’s biggest trading partners sent global markets into a tailspin