Definition. This chart provides a breakdown of the percent of Sovereign Supply that is in profit, held by Long-Term Holders (blue) and Short-Term Holders (red), plotted with price (black). Sovereign Supply is defined as Long-Term Holder Supply plus Short-Term Holder Supply (both of which exclude supply held on exchanges).

Technical. Each component is the cohort's in-profit supply normalized by Sovereign Supply:

• LTH Supply in Profit (%) = LTH Supply in Profit / (LTH Supply + STH Supply) (blue)
• STH Supply in Profit (%) = (LTH Supply in Profit + STH Supply in Profit) / (LTH Supply + STH Supply) (red)

The formulas are calculated to visually display as a stacked chart: the value shown for the Short-Term Holder trace reflects the cumulative area of the two supply regions from bottom to top (STH + LTH), so the STH share reads as the band between the two traces.

Interpretation. The total height of the stack tracks how much of the non-exchange supply holds an unrealized gain. Readings near 100% are characteristic of strong uptrends in which nearly every holder is in profit — historically a precondition for heavy profit-taking. The Short-Term Holder component is the volatile one, since this cohort's cost basis sits close to the current price: corrections rapidly push STH supply from profit into loss. The Long-Term Holder component erodes only in deep and extended drawdowns, so a visible contraction of the blue region signals that even mature, high-conviction supply is underwater — a condition typical of late-stage bear markets.

Notes. This chart presents the in-profit components of the native Relative LTH/STH Supply in Profit/Loss metric. Built from LTH Supply in Profit, STH Supply in Profit, LTH Supply and STH Supply. The loss-side counterpart is Long- and Short-Term Holder Supply in Loss.