NUPL (Net Unrealized Profit/Loss)
What it shows
NUPL (Net Unrealized Profit/Loss) shows how large an unrealized profit or loss the whole market holds relative to coins' acquisition price.
How to read it
NUPL splits the cycle into emotional phases (capitulation → hope → optimism → euphoria). Extremes have historically marked cycle turning points; treat them as a risk map, not a signal.
Parameters
- NUPL
- High = the market deep in profit (euphoria); low/negative = the market in loss (capitulation).
- Positive reading: Low or negative (capitulation): historically a cycle-bottom zone.
- Negative reading: Very high (euphoria): historically a cycle-top zone.
- Neutral reading: Mid values: the market in moderate profit, an optimism/belief phase.
Example
NUPL in the low zone (e.g. below 0: Capitulation): most of the market is underwater, historically a bottom and accumulation area. High NUPL (Euphoria, >0.75) historically accompanied tops; mid values mean a balance of profit and loss.