On-chain Data Academy (Part 5): How Many People Are Actually Making Money? A Five-Minute Overview of the Objective Sentiment Indicator PSIP
Original Article Title: "On-Chain Data Classroom (Part 5): How Many People Are Actually Making Money? A Five-Minute Guide to the Objective Sentiment Indicator PSIP!"
Original Article Author: Mr. Berg, On-Chain Data Analyst
This article is the 5th part of the On-Chain Data Classroom series, with a total of 10 parts. It will take you step by step through understanding on-chain data analysis. Interested readers are welcome to follow this series.
Related Reading: "On-Chain Data Classroom (Part 4): Visualized BTC Chip Price Distribution Chart"
TL;DR
- This article will introduce the on-chain indicator PSIP
- PSIP = Percentage of Supply in Profit, among circulating $BTC
- It can serve as a guide to market sentiment, with applications in recognizing market tops and bottoms
What is PSIP?
PSIP, short for Percent Supply in Profit, is defined as "the percentage of circulating $BTC that is in a state of profit."
Calculation method:
It distinguishes profit and loss chips by "comparing each $BTC's last transfer price with the current price."
When the current price is higher than a certain $BTC's last transfer price, this $BTC is considered a profit chip.

What if Most Chips Are in a Loss...?
An important application scenario of PSIP is market bottoms. When most chips are in a loss, it is usually a good time to buy the dip.
The logic is straightforward:
Under similar conditions, the more profitable holders, the greater the selling pressure from profit-taking in the market, and vice versa.
As shown in the chart below, historical points where $BTC had PSIP <50% are marked, indicating very precise opportunities to buy the dip

What if the Majority of Chips are in Profit?
As shown in the chart below, the percentage of chips in profit reaches a maximum value of 100%. Therefore, it is difficult to determine a top based solely on high PSIP.
Here is an interesting logic to share: “Observe the Correlation Change between PSIP and Price”
This idea is derived from the following analysis: The Market Pulse – Week 36, 2022

Conclusion
The above is all the content of On-Chain Data School (Part Five). For readers interested in further studying on-chain data analysis, remember to keep track of this series of articles!
If you want to see more analysis and teaching content on on-chain data, feel free to follow my Twitter account (X)!
I hope this article has been helpful to you. Thank you for reading.
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BeatSwap, a global Web3 Intellectual Property (IP) infrastructure project, is attempting to overcome the current fragmentation limitations of the Web3 ecosystem, building a full-stack system that covers the entire lifecycle of IP rights.
Currently, most Web3 projects are still in the stage of functional fragmentation, often focusing only on a single aspect, such as IP asset tokenization, transaction functionality, or a simple incentive model. This structural dispersion has become a key bottleneck hindering the industry's scale application.
BeatSwap's approach is more integrated, integrating multiple core modules into the same system, including:
· IP authentication and on-chain registration
· Authorization-based revenue sharing mechanism
· User-engagement-driven incentive system
· Transaction and liquidity infrastructure
Through the above integration, the platform builds an end-to-end closed-loop path, allowing IP rights to complete a full cycle of "creation, use, and monetization" within the same ecosystem.
BeatSwap is not limited to existing crypto users but is attempting to take the global music industry as a starting point, actively creating new market demand. Its core strategies include:
Exploring and incubating music creators (Artist discovery)
Building a fan community
Igniting IP-centric content consumption demand
The current global music industry is valued at around $260 billion, with over 2 billion digital music users. This means that the potential market corresponding to the tokenization and financialization of IP far exceeds the traditional crypto user base.
In this context, BeatSwap positions itself at the intersection of "real-world content demand" and "on-chain infrastructure," attempting to bridge the structural gap between content production and financial flow.
BeatSwap's upcoming core product "Space" is scheduled to launch in the second quarter of 2026. This product is defined as the SocialFi layer in the ecosystem, aiming to directly connect creators with users and achieve deep integration with other platform modules.
Key designs include:
A fan-centric interactive mechanism
Exposure and distribution logic based on $BTX staking
User paths connected to DeFi and liquidity structures
Thus, a complete user behavior loop is formed within the platform: Discovery → Participation → Consumption → Rewards → Trading
$BTX is designed to be a core utility asset within the ecosystem, rather than just a simple incentive token, with its value directly tied to platform activity and IP use cases.
Main features include:
· Yield distribution based on on-chain authorized actions
· Value reflection based on IP usage and user engagement dynamics
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· Value growth driven by ecosystem expansion
With the increased frequency of IP use, the utility and value support of $BTX will enhance simultaneously, helping alleviate the "disconnect between value and utility" issue present in traditional Web3 token models to some extent.
Currently, $BTX has been listed on several mainstream exchanges, including:
Binance Alpha
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As the launch of "Space" approaches, BeatSwap is actively pursuing more exchange listings to further enhance liquidity and global accessibility, laying a foundation for future market expansion.
BeatSwap's goal is no longer limited to the traditional Web3 narrative but aims to target over 2 billion digital music users and a trillion KRW-scale content market.
By integrating content creators, users, capital, and liquidity into a blockchain framework centered around IP rights, BeatSwap is striving to build a next-generation infrastructure focused on "IP tokenization."
BeatSwap integrates IP authentication, authorization distribution, incentive mechanism, transaction system, and market construction to establish a unified structure that bridges the full lifecycle path of IP rights.
With the launch of the Q2 2026 "Space," the project is expected to become a key infrastructure connecting content and finance in the IP-RWA (Real World Assets) track.
