Definition. The total supply of BTC segmented by unrealized profit and loss bands defined around Fibonacci retracement levels. Relative Supply by Profit and Loss is a related, normalized metric.

Technical. Breakdowns use an address-based approach, analyzing transactions and holdings at the wallet-address level to facilitate comparability across digital assets and to ensure consistent analysis across various blockchain architectures. This contrasts with the alternative UTXO-based approach for chains like Bitcoin, where unspent transaction outputs are analyzed to categorize asset properties. Metrics for UTXO-based assets may show slight deviations if compared across these different computational methods. The supply shown here is the sum of all address balances, so the total across all bands can differ from Circulating Supply. Each address's full balance falls into a single band, based on the current price relative to its average acquisition price. For ETH tokens, burn addresses are excluded.

Interpretation. Surfaces how much of total supply is held at a profit versus a loss, exposing aggregate market sentiment and potential support / resistance levels. Answers questions of the form: is the majority of supply currently held at a profit or a loss relative to its acquisition cost?