RC's net position on the 7th was negative, with BTC being spent below its own cost, resulting in a decrease in net value. The deeper the negative value, the greater the net loss realized per unit time; The negative value becomes shallower, indicating that the contracted flow velocity is slowing down. So, when the price hits a new low but the negative value does not go deeper, the corresponding situation is that with each drop, the selling pressure used by the market to cash in losses is decreasing, and the net outflow is converging. The convergence of negative values is not only due to the fact that as the bear market continues to deepen, the activity on the chain itself becomes lower and lower, but more importantly, it means "seller depletion". (You can combine the data of LTH losses transferred to the exchange that we mentioned yesterday) The loss making stocks that need to be cut are basically finished, and the remaining chips have lower costs and are more resilient to decline. Even if some coins are spent, the single loss realized will be smaller, that is, the new low will not force much selling pressure. So, what we are seeing now is a gradual narrowing after the deep valley in February, which is the same type of divergence between "price and net outflow" as in 2022, belonging to the classic bottoming out process. But in 2022, the narrowing of the red waveform to the bottom truly solidified, and it took several months in between. So it is a probability signal, but not a trigger signal.