Long-term holders and miners are under remarkable pressure to surrender amid bearish cryptocurrency market sentiments while activity levels of small and large entities suggest the market has not yet formed a confident bottom, according to blockchain analysis firm Glassnode.

Glassnode states that the volume of supply at a loss has now reached 44.7 percent, of which a majority is carried by the long-term holder cohort. However, this remains at a less severe level compared to previous bear cycles.

Long-term holders refer to those who retain their coins for months or years, compared to short-term holders who are newer entrants to the market.

“Overall, the fingerprint of a widespread capitulation and extreme financial stress is certainly in place. However, there may still be a combination of both time pain (duration), and perhaps further downside risk to fully test investor resolve, and enable the market to establish a resilient bottom,” the firm said in a statement.

The dominance of long-term holders in supply tends to increase over time, as fair-weather speculators are flushed from the market, Glassnode said.

“For a bear market to reach an ultimate floor, the share of coins held at a loss should transfer primarily to those who are the least sensitive to price, and with the highest conviction,” wrote Glassnode analysts.

In previous bear markets, the supply held by long-term holders reached over 34 percent, while the proportion held by short-term holders went below 4 percent. In comparison, currently, short-term holders still hold 16.2 percent of the supply in a loss.