Bitcoin Puell Multiple Drops Below Discount Zone But Recovery Stalls

A key Bitcoin technical indicator has fallen into discount territory, potentially providing an opportunity for savvy traders.

The Bitcoin Puell Multiple has returned to the “discount zone,” a point historically associated with Bitcoin market funds, said CryptoQuant analyst ‘Gaah’ on Tuesday. The last time the indicator was this low was in March 2025, when the price was trading close to $75,000.

The Puell Multiple compares BTC miners’ daily revenue to their annual average. When it falls below 1, miners are receiving less than normal, indicating financial pressure and potential capitulation.

The indicator measures miner profitability and historically signals potential market tops and bottoms. “These moments often mark periods of opportunity, where the market prices Bitcoin below its fair value,” he said.

Markets at an Opportune Moment

The market is signaling that it is entering an opportune moment, the analyst said before concluding:

“Price zones where risk decreases and upside potential increases. It is precisely in these moments of pessimism that a new uptrend begins to form.”

Puell Multiple Below the Discount Zone

“Historically, all major correction reversals have started in precisely these discount regions. It is not a guarantee of immediate bottoming, but statistically it has signaled major bottoms” – By @gaah_im pic.twitter.com/NTIZCocSfK

— CryptoQuant.com (@cryptoquant_com) November 25, 2025

The Bitcoin miner hash price has also slumped 43% over the past four months or so as miner profitability dwindles. The metric, currently $0.036 per terahash per second per day, quantifies how much a miner can expect to earn for a given amount of hashrate, according to Hashrate Index. It is now at a historical low.

Another metric called the Sharpe ratio has also fallen into opportune risk/reward territory. The indicator is at “a level historically associated with moments of maximum uncertainty and the early stages of risk repricing,” reported CryptoQuant earlier this week.

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The Sharpe ratio measures return versus risk, so when it is near zero, BTC has delivered poor returns, which creates a better investment setup.

Bitcoin Recovery Stalls

The Bitcoin recovery has stalled with the asset trading sideways over the past 24 hours. BTC tapped $88,000 twice over the past 12 hours but failed to overcome resistance there and fell back. It is currently trading at $87,600 and starting to consolidate at this range.

“Despite a decent rebound to start the week, crypto markets still show significant short and mid-term losses among average wallet investments,” commented Santiment.