Analysis: It is crucial for the BTC price to find support at the 65% address cost basis line

According to ChainCatcher, on-chain analyst Murphy stated that the CBD Quantiles chart divides the buying costs of addresses to observe the distribution structure and migration direction of market holdings. The purple line represents the 65th percentile cost basis, meaning that 65% of BTC addresses have a holding cost below this value. If the high percentile line drops rapidly while the low percentile line rises, it indicates that high-priced holdings are being absorbed by lower-priced funds, and the chips are changing hands.

It is extremely important for the current BTC price to find support at the purple line, as this indicates that the majority of on-chain addresses (65%) are still in a profitable state. In the previous cycle, after BTC price broke below the purple line support, it entered a long-term downward trend.