PANews reported on December 21 that analyst Murphy, using the X platform, observed signs of sentiment recovery in on-chain data. The red area in the chart below represents the number of addresses that switched from "holding BTC" to "completely liquidating" in the past 30 days. This means addresses whose account balances were greater than zero 30 days ago but have now been liquidated. It reflects the behavior of investors choosing to completely exit their positions under the dual pressure of price and time.

From November 13th to 25th, the number of addresses liquidating their BTC holdings surged. This period also coincided with the fastest and largest drop in BTC price, reflecting the panic and pessimism in market sentiment. However, during the subsequent period from December 1st to 18th, as BTC repeatedly tested the bottom, the number of addresses liquidating their holdings began to decrease.