The Non-Realized Profit metric offers insights into market trends and potential movements
High Non-Realized Profits (above $3.5B) often indicate potential selling pressure ahead. When traders sit on large unrealized gains, the temptation to take profits increases, raising the risk of a market correction.
Negative Non-Realized Profits (below 0) suggest that many traders are holding positions at or below their entry prices, which can signal the market is near a bottom, offering potential buying opportunities.
Currently, we are in the negative zone most of the time, which could indicate potential opportunities
What’s particularly striking is that current unrealized profits have never been this high in previous cycles. This signals that the ongoing cycle might differ from those we've seen before.
Stay alert, this could lead to unique opportunities or risks.
Written by Darkfost
